DSEX hits fresh 16-month low

Stocks fell further Tuesday, with prime index of the major bourse dipping below 4,300-mark and hitting fresh 16 months low as selling spree continued amid shaky confidence.
The market began with the sell-off that continued till close of the session, amid high volatility, led by NBFIs, banking and cement issues.
DSEX, the prime index of the Dhaka Stock Exchange (DSE), went down by 25.20 points or 0.58 per cent to close at 4,283.24 points. It was also the lowest level of DSEX since December 30, 2013, when it was 4,266.55 points.
The two other indices also ended in the red. The DS30 index, comprising blue chips lost 2.13 points or 0.13 per cent to close at 1,632.24 points. The DSE Shariah Index (DSES) shed 3.92 points or 0.37 per cent to close at 1,044.98 points.
The total turnover on DSE also came down to Tk 4.39 billion, registering a decline of 4.44 per cent over the previous session's value of Tk 4.60 billion.
The investors' activity was mostly focused on power, pharma and engineering - the sectors that accounted for 26 per cent, 15 per cent and 14 per cent respectively of the day's total turnover.
"The market witnessed a zigzag trading pattern and ended in red territory amid shaky confidence from the investors," said International Leasing Securities, in its daily market analysis.
Despite the active presence from both the optimist and pessimist side of investors, losers look a lead as short-term trading and panicky sell-off was mostly preferred, said the International Leasing.
LankaBangla Securities said, "After previous day's terrible trading session market went through another harsh day as investors still seem to be in a selling mood".
The opposition party's announcement of strike today (Wednesday) added fuel to the fire, said the stock broker.
"After previous day's helpless submission, market saw a volatile session which ultimately yielded to sellers," said IDLC Investments.
DS30 had almost a flat session with robust performance of Bangladesh Submarine Cable Company Ltd (BSCCL), which gained 9.93 per cent following the news that the Cabinet Monday approved an agreement with India to export bandwidth that will fetch Bangladesh $1.2 million every year.
Exploiting current trend of investors' mass-migration to select few stocks, United Power has recently emerged as the largest cap stock in power sector, ousting long term champion Titas Gas, said the merchant bank.
The United Power continued its rally, appreciating by 6.7 per cent to make power lead the gaining sectors.
The shaky confidence level in financial system is more pronounced in bank sector, as it gradually fell behind from the largest market capitalization sector to be the 4th largest within past one year, it said.
Large-cap sectors posted mixed performance. Fuel and power experienced the highest gain of the session 1.04 per cent. Telecommunication advanced by 0.54 per cent and pharmaceuticals closed flat with 0.02 per cent gain.
All the other major sectors closed lower. NBFIs experienced the highest correction, losing 1.32 per cent. Banks also went down by 1.10 per cent. Cement retraced by a 1.16 per cent and food and allied closed lower by a skimpy 0.12 per cent.
The losers took a lead over the gainers as out of 309 issues traded, 197 declined, 82 advanced and 30 remained unchanged.
Activities decreased in the major bourse where trade and volume were down by 8.14 per cent and 4.63 per cent respectively. A total number of 0.110 million trades were executed with trading volume of 98.42 million securities.
The market capitalisation on DSE stood at Tk 3,096.07 billion against Tk 3,099.84 billion in the previous session.
United Power Generation and Distribution Company continued to dominate the top turnover chart with shares worth Tk 526.74 million changing hands followed by Western Marine, ACI, KPCL and MJL BD.
BSCCL was the day's top gainer, posting a rise of 9.93 per cent while Fareast Finance was the worst loser, plunging by 9.40 per cent.
The port city bourse, Chittagong Stock Exchange (CSE) also closed lower with its Selective Categories Index - CSCX - lost 33.55 points to close at 8,053.37 points.
Losers beat gainers 157 to 61, with 20 issues remaining unchanged at the port city bourse that traded 10.13 million shares and mutual fund units, turnover value of Tk 372.32 million.
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