Major sectors suffer as year-end nears

FE Report

Most of the sectors witnessed correction last week that ended Thursday as cautious investors continued their selling binge on sectors-specific issues ahead of year-end.

Of the 19 sectors listed with the prime bourse, except corporate bonds, debenture and treasury bonds, the market cap of 16 sectors closed lower while three managed to finish marginally higher, according to weekly analysis of the Dhaka Stock Exchange (DSE) and International Leasing Securities.

Among the major sectors, textile sector faced the highest correction of 2.29 per cent as prices of 40 issues, out of 48 suffered losses.

Of the textile issues, Dulamia Cotton Spinning Mills was the week's worst loser, plunging by 14 per cent, followed by Tung Hai Knitting with 11 per cent, Alif Manufacturing Company 9.0 per cent, Nurani Dyeing 6.0 per cent, Mozaffar Hossain Spinning Mills 6.0 per cent, Envoy Textile 6.0 per cent and Modern Dyeing and Dragon Sweater lost 5.0 per cent each.

Among other major sectors, fuel & power also lost 1.60 per cent, followed by non-bank financial institutions with 1.08 per cent, engineering 0.95 per cent, banking 0.85 per cent, telecommunication 0.75 per cent and pharmaceuticals 0.58 per cent.

The fuel & power sector lost 1.60 per cent as prices of 15 issues of the sector closed lower, out of 18.

Of the fuel & power issues, the state-run Jamuna Oil Company faced the highest correction of 6.30 per cent, followed by BD Welding with 5.0 per cent, Padma Oil Company 4.50 per cent, Khulna Power Company 4.0 per cent, Baraka Power 3.50 per cent, Linde BD 2.10 per cent and United Power 1.0 per cent.

The non-bank financial institutions (NBFI) also lost 1.08 per cent as 16 issues of the sector faced correction, out of 23.

Among the NBFI issues, LankaBangla Finance was the highest correction of 3.60 per cent, FAS Finance with 3.10 per cent, Phoenix Finance 2.60 per cent, Bay Leasing 2.20 per cent, IPDC 2.0 per cent, Fareast Finance 1.70 per cent, First Finance 1.70 per cent and Investment Corporation of Bangladesh (ICB) 1.30 per cent.

The heavyweight banking also lost 0.85 per cent as prices of 16 banks closed lower, out of 30 listed banks.

Of the banks, Eastern Bank was the highest loser, losing 3.40 per cent, followed by Pubali Bank with 2.90 per cent, ICB Islamic Bank with 2.80 per cent, Mutaul Trust Bank 2.80 per cent, Dhaka Bank 1.70 per cent, AB Bank 1.70 per cent and Trust Bank 1.60 per cent.

The heavyweight telecommunication sector, which comprised two issues - Grameenphone (GP) and Bangladesh Submarine Cable Company (BSCCL), also lost 0.75 per cent as prices of largest market cap GP's share price plunged 1.0 per cent to close at 462.20 each Thursday, the last trading day of the week.

Share price of BSCCL also fell 0.10 per cent to close at Tk 103.80 Thursday at the premier bourse.

Jute, ceramic, paper & printing, services & real estate, miscellaneous, tannery, mutual fund, cement and travel & leisure also lost 3.17 per cent, 1.83 per cent, 1.72 per cent, 1.64 per cent, 1.43 per cent, 0.99 per cent, 0.93 per cent, 0.10 per cent and 0.06 per cent respectively.

On the other hand, insurance, IT and food and allied managed to close marginally higher, advancing 1.15 per cent, 0.51 per cent and 0.11 per cent respectively.

[email protected]