Stocks continued to fall for the third consecutive session on Tuesday with the key index of the major bourse dipping below 5,800-mark after four days.
Market operators said the investors followed cautious stance amid ongoing quarterly earnings disclosures while choppy trading sessions prompted them to cash in on stocks.
"The market continued its correction for the third day in a row mainly led by Grameenphone," commented AT Capital Partners, an asset management company, in an analysis.
GP's share price fell 1.76 per cent or Tk 8.50 each to close at Tk 474.30 on Tuesday at the Dhaka Stock Exchange (DSE).
The market opened on a negative note and the downward trend continued till end of the session amid volatility, finally DSEX ended more than 28 points lower while the CSE All Share Price Index fell 16 points at closing.
DSEX, the benchmark index of the Dhaka Stock Exchange (DSE), settled at 5,777, losing 28.77 points or 0.49 per cent over the previous session. DSEX lost about 66 points in the last three consecutive sessions.
According to International Leasing Securities, stocks witnessed correction for the third consecutive session as the investors booked profit on sector-specific issues.
The stockbroker noted that the trading session started with optimism but that trend did not sustain as the investors went on a selling spree in telecom, financial institution, food & allied, cement and banking sectors.
The two other indices also closed lower. The DS30 index, comprising blue chips, fell sharply by 15 points or 0.69 per cent to finish at 2,164. The DSE Shariah Index (DSES) lost 8.34 points or 0.62 per cent to close at 1,340.
Turnover, another important indicator of the market, increased slightly and the total turnover on the DSE amounting to Tk 4.95 billion, which was 2.06 per cent higher than the previous day's Tk 4.85 billion.
Banking sector kept its dominance in turnover chart - the sector accounted for 22 per cent of the day's total turnover, followed by power with 15 per cent and pharmaceuticals 12 per cent.
"The market witnessed another bearish session as investors adopted 'wait-and-see' strategy amidst ongoing earnings declarations by the companies," commented EBL Securities, in its regular market analysis.
The stockbroker noted that the selling pressure was spurred on stocks especially on telecommunication, banking and financial institutions.
The large-cap sectors showed mixed performance. The non-bank financial institutions witnessed the highest loss of 1.05 per cent, followed by banking with 0.34 per cent and telecommunication 0.28 per cent.
Food & allied posted the highest gain of 1.07 per cent, followed by pharmaceuticals 0.22 per cent, engineering 0.11 per cent while power sector remained flat.
The losers took a strong lead over the gainers as out of 339 issues traded, 209 closed lower, 85 ended higher and 45 issues remained unchanged on the DSE trading floor.
Grameenphone topped the turnover chart with shares worth over Tk 265 million changing hands, closely followed by United Power, Beximco, BRAC Bank and Al-Arafah Islami Bank.
S. Alam Cold Rolled Steels was the day's best performer, posting a gain of 5.80 per cent while Takaful Islami Insurance was the day's worst loser, losing 11.19 per cent following its price adjustment after record date.
Port city's bourse CSE also ended marginally lower with the CSE All Share Price Index - CASPI - losing 16 points to settle at 17,822 and Selective Categories Index - CSCX - shedding 9.0 points to finish at 10,767 points.
Here too, the losers beat the gainers as 118 issues closed lower, 78 ended higher and 40 remained unchanged.
The port city bourse traded 6.89 million shares and mutual fund units worth more than Tk 320 million in turnover.
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