Market breaks bearish spell
Thursday, 4 December 2008
FE Report
Dhaka stocks Wednesday, led by power and energy, IT and insurance issues, recorded a moderate rise.
The benchmark index, DSE General Index (DGEN), All Shares Price Index (DSI) and the DSE20 Index (DS20) increased 31.22 points, 23.76 points and 21.99 points to close at 2538.79, 2100.61 and 2132.65 respectively.
Trading, however, at the Dhaka Stock Exchange (DSE) opened with downbeat mood as the general index dropped 14 points during the first 30 minutes but it maintained uptrend until the close of the trade.
Of the total 224 issues traded, 160 advanced, 55 declined and nine remained unchanged.
"I think the market's overall tone is positive today after a long bearish spell," said Iftikhar-uz-zaman , General Manager of Investment Corporation of Bangladesh (ICB).
Many investors are taking position availing the lower prices of securities before closure for Eid-ul-Azha expecting good return in days to come, he said.
However, the protracted sluggish trend has sent most of the investors' purchasing capacity into the red, he said. But the merchant bankers have come to their rescue with their best efforts and, hopefully, they (merchant banks) will be able to put in their full efforts early next month.
"The institutional buying has been picking up gradually to help bring an end to the long bearish market," he said. Moreover, the political uncertainty is almost over. This would help restoration of the investors' confidence, he opined.
"Historically, the market remains slow during this period of the calendar year because of year-end book closure of the financial institutions," Iftiker said.
The day's total turnover rose to Tk 1.69 billion against the previous day's Tk 1.54 billion while the market capitalisation climbed to Tk 970.50 from Tk 962.28 billion.
"The netting facility temporarily being discouraged by the merchant banks is the cause of lower turnover. The merchant banks discouraged the netting facility so that investors stays on buying mood in a bearish market," said a stockbroker.
Beximco Pharma was the top turnover leader with shares worth Tk 230.10 million traded on the day.
Beximco Limited, ACI Limited, Shinepukur Ceramics Limited, Uttara Bank, Titas Gas, Summit Power, National Bank Limited, Grameen S2 Mutual Fund and Summit Alliance Port Limited were the day's rest of the top 10 turnover leaders.
The day's top gainers were ACI Formulations Limited, Renwic Jajneswar, Aramit, Eastern Insurance, Modern Dyeing, BCIL, Daffodil Computers, Summit Alliance Port Limited, Quasem Drycells and Dynamic Textile.
The top losers were Eagle Star, Saleh Carpet, BD Luggage, Eastern Lubricants, Kohinoor Chemicals, Quasem textile, Apex Spinning, ICB Islamic Bank, 6th ICB and National Polymer.
Dhaka stocks Wednesday, led by power and energy, IT and insurance issues, recorded a moderate rise.
The benchmark index, DSE General Index (DGEN), All Shares Price Index (DSI) and the DSE20 Index (DS20) increased 31.22 points, 23.76 points and 21.99 points to close at 2538.79, 2100.61 and 2132.65 respectively.
Trading, however, at the Dhaka Stock Exchange (DSE) opened with downbeat mood as the general index dropped 14 points during the first 30 minutes but it maintained uptrend until the close of the trade.
Of the total 224 issues traded, 160 advanced, 55 declined and nine remained unchanged.
"I think the market's overall tone is positive today after a long bearish spell," said Iftikhar-uz-zaman , General Manager of Investment Corporation of Bangladesh (ICB).
Many investors are taking position availing the lower prices of securities before closure for Eid-ul-Azha expecting good return in days to come, he said.
However, the protracted sluggish trend has sent most of the investors' purchasing capacity into the red, he said. But the merchant bankers have come to their rescue with their best efforts and, hopefully, they (merchant banks) will be able to put in their full efforts early next month.
"The institutional buying has been picking up gradually to help bring an end to the long bearish market," he said. Moreover, the political uncertainty is almost over. This would help restoration of the investors' confidence, he opined.
"Historically, the market remains slow during this period of the calendar year because of year-end book closure of the financial institutions," Iftiker said.
The day's total turnover rose to Tk 1.69 billion against the previous day's Tk 1.54 billion while the market capitalisation climbed to Tk 970.50 from Tk 962.28 billion.
"The netting facility temporarily being discouraged by the merchant banks is the cause of lower turnover. The merchant banks discouraged the netting facility so that investors stays on buying mood in a bearish market," said a stockbroker.
Beximco Pharma was the top turnover leader with shares worth Tk 230.10 million traded on the day.
Beximco Limited, ACI Limited, Shinepukur Ceramics Limited, Uttara Bank, Titas Gas, Summit Power, National Bank Limited, Grameen S2 Mutual Fund and Summit Alliance Port Limited were the day's rest of the top 10 turnover leaders.
The day's top gainers were ACI Formulations Limited, Renwic Jajneswar, Aramit, Eastern Insurance, Modern Dyeing, BCIL, Daffodil Computers, Summit Alliance Port Limited, Quasem Drycells and Dynamic Textile.
The top losers were Eagle Star, Saleh Carpet, BD Luggage, Eastern Lubricants, Kohinoor Chemicals, Quasem textile, Apex Spinning, ICB Islamic Bank, 6th ICB and National Polymer.