Turnover at DSE crosses Tk 8b mark

The value of stocks transacted at the Dhaka Stock Exchange (DSE) crossed Tk 8.0 billion mark Wednesday after two months as the investors started demonstrating growing confidence in the market.
The daily turnover value jumped to Tk 8.35 billion, registering a 17.4 per cent increase over the previous session's value of Tk 7.10 billion.
The highest-ever turnover on the DSE was recorded Tk 32.49 billion on December 5, 2010.
Along with the increasing turnover, the prime index of the DSE -DSEX - also shot up and closed at 4,640.55 points after gaining 55.93 points or 1.22 per cent. It is the highest level of the DSEX since its introduction on January 27, 2013.
The aggregate gain of the DSEX was over 344 points since the general election held on January 5, 2014.
On Wednesday the upward movement in the indices mainly resulted from the gain by some large cap sectors.
Pharmaceuticals, banks and fuel & power gained 2.87 per cent, 1.24 per cent and 1.49 per cent respectively. NBFIs and telecommunications also advanced 0.71 per cent and 0.55 per cent respectively.  
Gainers outpaced losers, as out of the 295 issues traded, 191 gained, 83 declined and 21 remained unchanged.
Analysts said the market witnessed strong buying pressure, mostly from institutions. The continuous positive trend boosted up investors' confidence and encouraged them to take fresh position in the market.
"The surge is mainly attributed to investors' focus on almost all the sectors. Traders started taking strategic position in order to reap benefit, which the market is continuously offering to its participants," observed Zenith Investments, in its daily market analysis.
"Since the market is prevailing in the green zone for quite a long time, investors should not set their targets too high in the hope of abnormal return, but the target must be set at a standard level," it opined.
Akther H Sannamat, managing director of Union Capital, said the investors' participation is increasing, as the market is showing stability, encouraging them to take fresh position.
"The apparent persistence of positive sessions is encouraging the previously inactive investors, thus improving overall activities," said Mr Sannamat, also vice president of Bangladesh Merchant Bankers Association (BMBA).
As political turmoil is absent now and there is no tough programme in near future, investors regained some confidence in the market, he added.