Stocks extended the rally for third consecutive session on Sunday as optimistic investors continued to put fresh bets, particularly in insurance issues.
The market opened the week on a flying note and the core index soared 62 points within the first hour of trading. But the rest of the session eroded half of the early gains on profit booking sell-offs.
Finally, DSEX, the prime index of the Dhaka Stock Exchange (DSE), went by 29.42 points or 0.42 per cent to settle at 6,965. The core index added 262 points in the past three straight sessions.
Turnover, a crucial indicator of the market, however, dropped to Tk 8.95 billion, which was 28 per cent lower than the previous day's tally of Tk 12.45 billion.
Market operators said the investors were inspired by the finance ministry's move to arrange a meeting with the central bank and the stock market regulator on Tuesday (December 7) to resolve the ongoing issues of the capital market.
"Hope for a better outcome from the upcoming meeting encouraged investors to put fresh bets on major sector stocks, particularly insurance stocks," according to a merchant banker.
Following contradictory statements from the securities regulator and the central bank last week over some policy matters related to stock market which prompted the finance ministry to call a coordination meeting.
"Expectations grew that the finance ministry's move to resolve the disputes between the Bangladesh Bank and the Bangladesh Securities and Exchange Commission would yield a better outcome," said the merchant banker.
Insurance stocks came under the spotlight again on Sunday with Asia Insurance topped the gainers' list with 10 per cent gain. Among the top ten gainers, four came from the insurance sector, according to a stockbroker.
Prices of 49 insurance companies out of 52 listed insurers soared with two closed lower while one remained unchanged on the prime bourse.
The general insurance sector posted the highest gain of 5.30 per cent.
Two other indices also edged higher. The DSE 30 Index, comprising blue chips, advanced 2.32 points to finish at 2,638 and the DSE Shariah Index (DSES) rose 2.15 points to close at 1,461.
Among other major sectors, engineering, food, telecom, cement and banking gained 2.20 per cent, 1.30 per cent, 0.90 per cent, 0.80 per cent and 0.10 per cent respectively.
Gainers took a strong lead over the losers, as out of 373 issues traded, 245 advanced, 79 declined and 49 issues remained unchanged on the DSE trading floor.
Beximco was the most traded stock with shares worth Tk 1.17 billion changing hands, followed by ONE Bank (Tk 388 million), First Security Islami Bank (Tk 331 million), Delta Life Insurance (Tk 301 million) and Power Grid Company (Tk 247 million).
Asia Insurance was the day's highest gainer, gaining 10 per cent while Vanguard AML BD Finance Mutual Fund One was the day's worst loser, losing 7.86 per cent.
The Chittagong Stock Exchange (CSE) also ended higher with the CSE All Share Price Index - CASPI -rising 161 points to settle at 20,415 and the Selective Categories Index - CSCX- gaining 95 points to close at 12,275.
Of the issues traded, 192 advanced, 77 declined and 26 remained unchanged on the CSE.
The port-city bourse traded 21.04 million shares and mutual fund units with a turnover value of Tk 633 million.
© 2024 - All Rights with The Financial Express
