Key index of major bourse dips below 5,200-mark

Stocks plummeted for the second running session Sunday with key index of the major bourse dipped below 5,200-mark as investors went for massive sales, anticipating further correction.
The market opened with a downbeat mood and rest of the session decline steeply. DSEX, the prime index of the Dhaka Stock Exchange (DSE) ended at 5,176.75 points, shedding 109.08 points or 2.06 per cent. It was also the biggest singe-day fall in the last 14-month.
The other two indices also saw sharp decline. The DS30, comprising blue chips shed 43.64 points or 2.18 per cent to close at 1,954.14 points. The DSE Shariah Index went down by 24.94 points or 2.00 per cent to close at 1,217.51 points.
The total turnover on DSE came down to one-month low to Tk 6.87 billion, which was 15.60 per cent lower over the previous session's value of Tk 8.14 billion.
The investors' attention was mostly concentrated on power, engineering and pharma - the sectors that accounted for 22 per cent, 12 per cent and 11 per cent respectively of the day's total turnover.
"The downbeat accelerated and slump the day's market. As a result, DSEX shed 109.1 points, breaking through 5,200-mark," said IDLC Investments.
As the market rallied in last two months, investors rather thinking of pursuing safe strategy and chasing out, on the fear of massive correction, said the merchant bank.
Zenith Investments said: "Stocks went for another pullback, reacting to investors' expectation that market is now ready for some correction."
"Although market correction may put, many, in emotional stage, but investors and traders who are prepared, finds greater opportunities on the downside than on the upside," said the Zenith analysis.
"After having sharp gain in preceding six weeks, consolidation continued around 5,300 in last few days, while Sunday's big correction spooked the market,' said LankaBangla Securities.
The first session of the Bull Run appeared to be over, and seems like benchmark index is topping out at current level, said the stock broker.
The losers took a lead over the gainers as out of 302 issues traded, 233 declined, 54 advanced and 15 remained unchanged on the DSE floor.
Activities decreased in the major bourse where trade and volume were down by 13.63 per cent and 14.2 per cent respectively. A total of 0.133 million trades were executed with 150.06 million securities of trading volume.
The total market capitalisation of the DSE came down to Tk 3,415.61 billion against Tk 3,467.62 billion in the previous session.
Jamuna Oil was the most traded stock with shares worth Tk 366.90 million changing hands followed by Square Pharma, Titas Gas, MJL BD and GP.
Popular Life Insurance was the day's highest gainer, posting a rise of 8.05 cent following its dividend declaration while EBL NRB Mutual Fund was the day's worst loser, slumping by 9.33 per cent.
The port city bourse, Chittagong Stock Exchange (CSE) also saw sharp decline with its Selective Categories Index - CSCX - lost 194.51 points to close at 9,717.42 points.
Losers beat gainers 195 to 26, with 8 issues remaining unchanged at the port city bourse that traded 12.47 million shares and mutual fund units, turnover value of Tk 454.02 million.

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