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Stocks bleed for three straight days

DSE turnover drops below Tk 6b

FE REPORT | November 16, 2022 00:00:00

Stocks extended the losing streak for the third straight session on Tuesday, with turnover falling below Tk 6.0 billion, as dismal earnings disclosures and gloomier economic outlook eroded confidence of investors.

DSEX, the key index of the Dhaka Stock Exchange, went down 35.15 points or 0.56 per cent to settle at 6,218, the lowest since August 11 this year. DSEX shed 157 points in the past three days.

Turnover, a crucial indicator of the market, also dropped to Tk 5.61 billion on the prime bourse, declining by 21 per cent from the previous day.

It was the lowest turnover since October 24 this year when turnover was recorded at Tk 3.35 billion for reduced trading time following a technical glitch.

Stocks continued to bleed as dismal corporate earnings for the second consecutive quarter prompted investors to dump their holdings and remain on the sidelines, said EBL Securities.

"Gloomy macroeconomic outlook and the poor financial performance of the listed companies have weakened investors' confidence on the trading floor," said the stockbroker.

The investors opted to protect their funds from the ailing market in an effort to minimize losses, it added.

Most of the traded issues remained stuck at the 'floor price'. Of the 319 issues traded, 61 declined, 24 advanced and 234 issues remained unchanged on the DSE.

According to International Securities, jittery investors continued sell-off to exit from the market as they fear deepening challenges in the coming months.

Quarterly earnings declarations also failed to meet the investors' expectation while some investors were stuck with heavy losses in their portfolios, said the stockbroker.

Genex Infosys kept its dominance in the turnover list with shares worth Tk 629 million changing hands, followed by Orion Pharma (Tk 420 million), Bashundhara Paper Mills (Tk 393 million), Navana Pharma (Tk 305 million) and Eastern Housing (Tk 242 million).

The Chittagong Stock Exchange (CSE) also ended lower with the CSE All Share Price Index (CASPI) losing 48 points to settle at 18,482 and its Selective Categories Index (CSCX) shedding 29 points to close at 11,074.

Of the issues traded, 47 declined, 18 advanced and 65 issues remained unchanged.

The port-city bourse traded 1.59 million shares and mutual fund units with turnover value of Tk 131 million.

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