Investors go for buying spree

FE Report The market witnessed sharp rise Wednesday for the third consecutive session with significant improvement in turnover as investors went for buying spree amid fresh optimism. The General Index of the Dhaka Stock Exchange (DGEN) once again crossed 4,000-point mark and ended at 4,082.48 points, gaining 105.03 points or 2.64 per cent. The other two indices also posted significant gains --- the DSEX went up by 97.15 points or 2.58 per cent to close at 3,855.14 while the blue chip index DS30 advanced 39.41 points or 2.85 per cent to close at 1,421.38 points. "Investors greeted previous day's parliamentary committee meeting positively, which strengthened turnaround expectations further. The rejoice was observed in session start, as upbeat participation drove DGEN over 4,000 within first few minutes of trading," commented IDLC Investments, in its daily market analysis. "Sentiment stayed buoyant over optimism regarding Bangladesh bank's upcoming press conference, which aided the indices, DGEN and DSEX to scale up by 105.04 and 97.15 points respectively," said the IDLC analysis. Overall, amid strong budgetary expectations, and recent positive developments, activity spurred up significantly, pulling turnover to Tk 4.33 billion, an 82.7 per cent increase over the previous session's value. "Budget expectations continue to boost investor optimism driving indices further to more greener zones," stated LankaBangla Securities. "As the budget of the coming financial year is approaching, investors are hoping good things for the market. This in turn is helping the market to recover," commented Zenith Investments. In addition, the government has already taken some steps and will take some more to assist the market. Turnover nearly doubled for most of the sectors, while Mutual funds continued to climb amid upbeat sentiment. Fuel and power sector registered the highest amounts in turnover with market capitalization going up by 2.94 per cent. All of the sectors showed blazing performance and contributed to overall market outlook. Among the major sectors NBFIs gained 3.65 per cent, telecommunications 3.52 per cent and banks 2.09 per cent and pharmaceuticals 1.80 per cent marched forward. The gainers took a strong lead over the losers as out of 287 issues traded at DSE, 269 advanced, 11 declined and 7 remained unchanged. A total of 0.106 million trades were executed in day's trading session with 110.99 million securities of trading volume. The market capitalization on the DSE stood at Tk 2,376.13 billion against Tk 2,330.71 billion in the previous session. Aamra Technologies was the most traded stock of the day with shares worth Tk 67.23 million changing hands. Active Fines, AIMS First Mutual Fund, Aftab Automobiles and Argon Denim were the next popular stocks. Third ICB was the day's highest gainer, posting a rise of 9.12 per cent while Eastern Cable was the day's worst loser, slumping by 5.04 per cent. The Chittagong Stock Exchange (CSE) also ended higher with the Selective Categories Index gained 174.33 points to close at 7,586.51 points. Gainers beat losers 172 to 18, with 11 issues remaining unchanged on the port city bourse that traded 11.57 million shares and mutual fund units, turnover of Tk 478.64 million.