Stocks extend losses as profit booking continues

Stocks extended the losing streak for the second consecutive session on Wednesday as risk-averse investors continued their profit booking sell-offs on quick-gaining shares.
DSEX, the prime index of the Dhaka Stock Exchange (DSE), went down by 19.08 points or 0.38 per cent to settle at 4,963.
The market opened on upbeat note and the key index of the major bourse gained 13 points within first five minutes of trading. But, all the initial gains wiped out as the sessions progressed amid profit booking sell-offs.
Two other indices also ended lower. The DS30 index, comprising blue chips, lost 9.14 points to finish at 1,695 and the DSE Shariah Index shed 5.14 points to close at 1,120.
Turnover stood at Tk 9.14 billion, which was 7.25 per cent higher than the previous session's turnover of Tk 8.53 billion.
Market operators said the shaky investors continued to grab profit on majors sectors' issues, particularly on power, telecom and banking, which saw substantial gain in recent price surge.
The market closed negative for two straight sessions owing to investors' profit booking stance, commented UCB Capital Management.
Fall of large-cap stocks like United Power, LafargeHolcim, Brac Bank, Grameenphone and Square Pharma played a major role behind the correction of the broad index, said a leading broker.
However, bargain hunters remained active on the market riding on optimism owing to regulatory moves and resumption of economic activities, he added.
"The market witnessed a natural correction, as cautious investors intended to realise the profit generated from the previous few weeks", said the merchant banker.
He noted that the correction is also creating an opportunity for some investors to make fresh investments.
Among the major sectors, power witnessed the highest correction of 0.70 per cent, followed by telecom with 0.60 per cent, banking 0.20 per cent and food 0.10 per cent.
Engineering and non-bank financial institutions sectors posted gain of 4.20 per cent and 1.40 per cent respectively.
Losers outnumbered the gainers as out of 355 issues traded, 191 closed lower, 132 ended higher while 32 issues remained unchanged on the DSE trading floor.
A total number of 176,327 trades were executed in the day's trading session with a trading volume of 390.57 million shares and mutual fund units.
However, the market-cap on the premier bourse jumped to Tk 3,996 billion on Wednesday, from Tk 3,986 billion in the previous session, riding on newly listed Walton Hi-Tech Industries.
Paramount Textile topped the turnover list with shares worth Tk 503 million changing hands, closely followed by Beximco, Sandhani Life Insurance, Asia Pacific Insurance and Beximco Pharma.
EBL First Mutual Fund was the day's best performer, posting a gain of 10 per cent while GQ Ball Pen Industries was the worst loser, losing 8.36 per cent.
The Chittagong Stock Exchange also ended lower with its All Shares Price Index (CASPI)-losing 94 points to close at 14,167 while the Selective Categories Index - CSCX shedding 52 points to close at 8,507.
Of the issues traded, 174 declined, 79 advanced and 28 remained unchanged on the CSE.
The port city bourse traded 17.17 million shares and mutual fund units with turnover value of Tk 600 million

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