Stocks break three-day losing streak

Lafarge share price jumps 30pc in 3 days


FE Report | Published: December 26, 2017 22:34:17


Stocks break three-day losing streak


Stocks finished marginally higher Tuesday, snapping a three-day losing streak, as optimistic investors took position on selective large-cap stocks, especially Lafarge Surma Cement.
Share prices of the multinational cement maker, Lafarge soared 9.88 per cent to close at Tk 65.60 on Tuesday. It was also the day's top gainer.
Lafarge share prices soared 27.62 per cent or Tk 14.20 each in the past three consecutive sessions as Lafarge finally agreed to buy Holcim Bangladesh at around Tk 5.04 billion, a price that was previously set by the Bangladesh Bank.
"As Lafarge is the seventh largest market cap listed company in the Bangladesh's capital market, its price movement affect overall market," said an analyst at a leading brokerage firm.
The market started the day on positive movement and key index of the major bourse exceeded 6,200-mark within the first hour of trading. However, index failed to sustain that position as the session progressed. Finally it ended only 8.0 points higher.
DSEX, the prime index of the Dhaka Stock Exchange (DSE), settled at 6,167, advancing 8.26 points or 0.13 per cent after losing 70 points in the past three consecutive sessions.
"The investors took position on the lucrative price level in different stocks, especially on cement and banking sectors stocks that spurred the bourse to edge higher," commented International Leasing Securities, in its regular market analysis.
The stockbroker noted cement sector posted more than 5.0 per cent return in the back to back sessions, riding on the news of Lafarge 100 per cent acquisition of Holcim Cement (Bangladesh).
The two other indices also closed higher. The DS30 index, comprising blue chips rose 13.87 points or 0.62 per cent to close at 2,245. The DSE Shariah Index (DSES) advanced 5.06 points or 0.37 per cent to finish at 1,372.
Lafarge was the day's best performer, posting a gain of 9.88 per cent while Emerald Oil Industries was the day's worst loser, shedding 9.95 per cent.
The 2nd city bourse - the Chittagong Stock Exchange - (CSE) also edged higher with CSE All Shares Price Index advancing 26 points to finish at 19,083.

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