Key index dips below 4,700-mark

The market suffered correction for the third running session Monday with key index of the premier bourse dipped below 4,700 point-mark as investors remained cautious to make fresh investments into stocks.
The market opened with a positive note, but could not sustain. At the end of the session, the prime index of the Dhaka Stock Exchange (DSE) --- DSEX --- came down below 4,700 point-mark and ended at 4,684.07 points, shedding 29.80 points or 0.63 per cent.
The other two indices also ended into red. The DS30 index, comprising blue chips went down by 18.59 points or 1.10 per cent to close at 1,662.08 points. The DSE Shariah Index (DSES) lost 8.12 points or 0.82 per cent to close at 977.30 points.
The continuation of falling participation, DSE turnover slumped further and amounted to Tk 3.44 billion, registering 11.85 per cent decline over the previous session's value of Tk 3.90 billion. It was also one and a half month lowest turnover since Tk 3.15 billion on January 6 last.
"Volatility made a comeback alongside frequent scrip-wise switching by investors," said IDLC Investments, in its daily market analysis.
Selling pressure in certain Mid Cap and Large Cap scrips depressed the day's market sentiment and subsequently pulled down the indices for third consecutive session, the merchant banks said.
Consequently, a 30 points drop put DSEX below 4,700 after 17 sessions. Since, recent sessions have been somewhat downbeat, fresh funds continue to stay on the wane as investors remained cautious, said the merchant bank.
"Benchmark index shed a slice of gain on stocks owing to concern over sideway down movement in index and profit booking," said LankaBangla Securities.