Stocks extended their winning spell for the seventh day in a row on Monday, as investors continued their buying spree on large-cap stocks amid growing confidence.
Turnover, the most important indicator of the market, also rose to Tk 14.48 billion on the Dhaka Stock Exchange (DSE), soaring 46 per cent over the previous day's Tk 9.94 billion.
Excluding the trade value of Tk 14.78 billion recorded on November 23, 2016 which was largely driven by block trade of KPCL, the Monday's turnover was the highest single-day transaction in five and a half years' since July 28, 2011, when turnover was Tk 18.05 billion.
Market insiders said spontaneous participation backed by hopes and excitements coupled with persistent upbeat market trend lured the sideline investors to inject fresh fund on stocks, taking the market turnover to Tk 14.48 billion.
"Recent stable scenario of market coupled with healthy turnover attracted the sideline investors to take fresh positions in lucrative stocks," said an analyst at a leading brokerage firm.
The market started with a flying note in the morning and the upward momentum persistent till end of the session with no sign of reversal, ultimately ended more than 35 points higher.
DSEX, the prime index of the DSE, went up by 35.69 points or 0.70 per cent to settle at more than 26 months' high at 5,119.59, which was the highest level of DSEX since October 30, 2014, when DSEX was 5,173.23.
LankaBangla Securities, a stockbroker, said, "The next major resistance level lies at 5,200-mark".
The two other indices also saw sharp gain. The DS30, comprising blue chips, rose 19.72 points or 1.08 per cent to close at 1,841.60. The DSE Shariah Index (DSES) jumped 9.15 points or 0.76 per cent to close at 1,209.68.
"The market continued the bull run with strong participation as the bull-run attracted investors to increase participation," said IDLC Investments, a merchant bank, in its regular market analysis.
International Leasing Securities, a stockbroker, in its regular market analysis, "The Stocks observed a solid session amid rising confidence from the investors, taking the benchmark index to its high after October 30, 2014".
The stockbroker noted that the market started the day's session positively and finished without any major oscillation mainly driven by large-cap sectors.
"Buoyancy in several large-cap issues, mostly from non-bank financial institutions, life insurance and engineering sectors contributed sharply to the upswing in indices," said the stockbroker.
Engineering sector continued to lead the turnover chart, capturing 20 per cent of the day's total turnover value, followed by pharmaceuticals 13 per cent and textile 12 per cent.
The large-cap sectors showed mostly positive performances. The non-bank financial institutions posted the highest gain of 3.83 per cent, followed by engineering 2.37 per cent, fuel and power 1.45 per cent, pharmaceuticals 1.18 per cent, telecommunications 0.34 per cent and food and allied 0.13 per cent.
The heavyweight banking sector was the only loser, which faced 0.78 per cent correction.
The gainers took a strong lead over the losers as out of 326 issues traded, 190 closed higher, 114 closed lower and 22 remained unchanged on the DSE trading floor.
Bangladesh Building Systems dominated the DSE turnover chart with about 10.29 million shares worth Tk 572 million changing hands, closely followed by DESCO, Beximco, Active Fine Chemicals and Singer Bangladesh.
ICB was the day's highest gainer, posting a 10 per cent rise, while Zeal Bangla Sugar Mills was the worst loser for the second day in a row, losing 9.98 per cent.
The port city bourse, the Chittagong Stock Exchange (CSE), also closed higher with its Selective Categories Index - CSCX - gaining 78.41 points to settle at 9,536.39.
Gainers beat losers as 145 issues closed higher, 95 closed lower and 25 remained unchanged on the CSE.
The port city bourse traded 29.08 million shares and mutual fund units' worth over Tk 785 million in turnover.
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