Stocks rebound as bank, power sectors surge

Stocks returned to the green Wednesday, snapping a three-day losing streak, as investors went on late-hour buying binge, especially bank and power stocks.
Analysts said the market rebounded as optimistic investors went on buying spree on sector-wise stocks amid ongoing quarterly earnings declarations.
The market started on a positive note and the upturn sustained till end of the session amid modest volatility, finally DSEX ended more than 24 points higher while CSE All Share Price Index gaining 72 points at closing.
DSEX, the prime index of the Dhaka Stock Exchange (DSE), settled at 5,802, after gaining 24.67 points or 0.42 per cent over the previous session.
"The market rebounded, snapping three sessions of profit booking sell pressure amid optimism," commented International Leasing Securities, in its regular market analysis.
The stockbroker noted that the market started the session with upbeat vibe and continued till the closure as the enthusiastic investors were active on sector-specific issues mainly from banking, cement and fuel & power sectors.
"The opportunist investors preferred to rebalance their portfolio by observing the earnings disclosure while the risk-averse investors opted to book gain, especially from the financial institutions, food and telecom issues," the stockbroker said.
The two other indices also edged higher. The DS30 index, comprising blue chips, advanced 1.98 points or 0.09 per cent to finish at 2,166. The DSE Shariah Index (DSES) gained 2.61 points or 0.19 per cent to close at 1,342.
The trading activities, however, remained low as the total turnover amounting to Tk 4.85 billion, which was 2.02 per cent lower than the previous day's turnover of Tk 4.95 billion.
Banking sector continued to dominate the turnover chart, grabbing 21 per cent of the day's total turnover, followed by pharmaceuticals with 13 per cent and power 12 per cent.
According to EBL Securities, the market displayed positive trend as optimistic investors opted to take fresh position on sector-wise stocks.
"Investors buying pressure was spurred on stocks, especially banking, power and cement sectors," the stockbroker said.
The banking sector posted the highest gain of 1.40 per cent, followed by fuel & power 0.20 per cent. Pharmaceuticals and engineering also gained 0.20 per cent each.
The non-bank financial institutions witnessed the highest correction of 0.98 per cent, followed by food & allied with 0.30 per cent and telecommunication 0.26 per cent.
The gainers took a modest lead over the losers as out of 335 issues traded, 156 closed higher, 134 closed red and 45 issues remained unchanged on the DSE trading floor.
Grameenphone continued to top the turnover chart with 666,367 shares worth Tk 315 million changing hands, followed by BRAC Bank, United Power, Beximco and Square Pharmaceuticals.
Navana CNG was the day's best performer, posting a gain of 8.72 per cent while Tallu Spinning the worst loser, plunging by 9.28 per cent.
Port city's bourse CSE also ended higher with the CSE All Share Price Index - CASPI -advancing 72 points to settle at 17,894 and Selective Categories Index - CSCX -gaining 49 points to finish at 10,816 points.
Here too, the gainers beat the losers as 109 issues closed higher, 89 ended lower and 29 remained unchanged.
The port city bourse traded 35.80 million shares and mutual fund units worth more than Tk 982 million in turnover.

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