Stocks break 4-week losing jinx defying political strife

The market rebounded last week that ended Thursday after witnessing bearish trend in the past four consecutive weeks as investors were in buying spree throughout the week defying ongoing political gridlock.
The week featured five trading sessions as usual and all the trading sessions closed higher as bargain hunters took position on lucrative issues amid optimism.
Week-on-week, DSEX, the prime index of the DSE crossed the 4,800-mark after 16-session and ended the week at 4,841.72 points, gaining 156.68 points or 3.34 per cent.
The two other indices also ended higher. The DS30, comprising blue chips index went up by 79.13 points or 4.57 per cent to close at 1,812.35 points. The DSE Shariah Index soared 39.77 points or 3.58 per cent to close at 1,149.98 points.
The port city bourse Chittagong Stock Exchange (CSE) also closed higher after four weeks with its Selective Categories Index - CSCX - gained 271.83 points or 3.12 per cent to close the week at 8,979.16 points.
Overall activities improved as some fresh funds injected in last week. The total turnover for the week amounted to Tk 14.60 billion against Tk 10.71 billion in the week before.
The daily turnover for the week averaged Tk 2.92 billion, registering an increase of 36 per cent over the previous week's average of Tk 2.14 billion.
The investors' attention was mostly focused on engineering, power and pharma - the sectors that accounted for 16.96 per cent, 13.97 per cent and 13.42 per cent respectively of the week's total turnover.
"Despite the stalemate in the political front, benchmark index DSEX gained a total of 156.7 points amid fresh fund injection," said IDLC Investments, in its weekly market analysis.
"Most of the listed companies disclosed their quarterly or annual earnings and investors tried to gather hope despite gloomy future," said the merchant bank.
Turnover also improved as investors expected that they had passed the worst and reached the bottom. However, country-wide blocked is going on, without any clear direction on reaching any settlement, the merchant bank added.
LankaBangla Securities said: "The benchmark index experienced a full week of green session after experiencing continuous sluggishness in previous four weeks".
Though political uncertainty still prevails in the country, nevertheless, investors came out of sideline last week increasing the average daily market turnover, it said.
"Some of the companies were trading at lucrative valuation which acted as the major catalyst for this upward movement in the market," the stock broker added.
International Leasing Securities said: "Lucrative bargain opportunity and growing confidence among investors defying political strife, helped the market to extend its gaining streak for another session".
Expectation on upcoming year-end corporate declarations is also contributing to uphold positive walk in indices, said the International Leasing.
Among the major sectors, food and allied was only sector that yielded negative return, losing 0.92 per cent. The other large-cap sectors closed in green with cement registering the highest gain which gained 5.62 per cent.
Telecommunication and power appreciated by 3.45 per cent and 3.72 per cent respectively. Pharmaceuticals advanced 2.30 per cent. In the financial sectors - NBFIs and banks went up by 1.32 per cent and 0.57 per cent respectively.
The gainers took a lead over the losers as out of 318 issues traded, 252 advanced, 47 declined and 19 remained unchanged on the DSE trading floor.
Four listed companies - Summit Alliance Port, GP, C&A Textiles and Fareast Finance & Investments declared divided last week. Summit Alliance Port declared 10 per cent cash, 5 per cent stock, GP declared 160 per cent final cash, C&A Textile recommenced 11 per cent stock and Fareast Finance declared 12.5 per cent divided.
The market capitalisation of the DSE went up by 2.24 per cent as it was Tk 3,177.21 billion on the opening day of the week and it stood at Tk 3,248.28 billion on closing day of the week.
Newly listed IFAD Autos dominated the week's top turnover chart for the second straight weeks with shares worth Tk 837.87 million changing hands followed by MJL BD, GP, Beximco and Lafarge Surma Cement.
Beximco Ltd was the week's top gainer, posting a rise of 24.13 per cent while GSP Finance was the week's worst loser, plunging by 33.85 per cent.
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