Stocks extended the losing streak for the second straight session on Monday as investors continued their sell-off on major sector issues as they tanked on concern over a growing tension between two regulators.
DSEX, the prime index of Dhaka Stock Exchange (DSE), went down by 46.63 points or 0.68 per cent further to close at 6,736. The core index eroded more than 131 points in the two consecutive sessions.
Two other indices also ended lower with the DSE 30 Index, comprising blue chips, losing 19.04 points to finish at 2,528 and the DSE Shariah Index (DSES) shed 10.59 points to close at 1,432.
Turnover, a crucial indicator of the market, remained low and amounted to Tk 8.07 billion, which was 2.67 per cent higher than the previous day's tally of Tk 7.86 billion.
Market insiders said the investors are suffering from a confidence crisis due to the deteriorating development between Bangladesh Bank and Bangladesh Securities and Exchange Commission over some policy issues.
The growing concern over the disputes between the two regulators regarding the perpetual bond issue discouraged the investors to put their money in the market, according to a stockbroker.
Most of the investors released their holdings after noticing that the heavyweight stocks witnessed price fall, putting further pressure on the indices, said a merchant banker.
Heavy sell pressure was observed in the large-cap stocks such as Grameenphone, British American Tobacco Bangladesh, Robi, United Power and Beximco Pharma. DSEX shed 20 points by the large-cap issues.
He noted that since the trading activity was volatile in the past few days, most of the investors kept selling shares and favoured sitting on cash ahead of year-end adjustments.
The market continued the downward momentum as investors' sell pressure was predominant on the bourse, according to EBL Securities.
Major sectors suffered losses with the power saw the highest loss of 1.30 per cent, followed by telecom with 1.10 per cent, food 1.10 per cent, financial institutions 0.60 per cent, banking 0.50 per cent and engineering 0.50 per cent.
Losers took a strong lead over the gainers, as out of 374 issues traded, 241 declined, 100 advanced and 33 remained unchanged on the DSE trading floor.
Beximco-- the flagship company of Beximco Group -- was the most traded stock with shares worth Tk 1.28 billion changing hands, followed by Genex Infosys (Tk 372 million), ONE Bank (Tk 332 million), Asia Insurance (Tk 278 million), and Sena Kalyan Insurance (Tk 174 million).
Asia Insurance was the highest gainer, gaining 9.27 per cent while Khan Brothers PP Woven Bag Industries was the day's worst loser, losing 6.52 per cent.
The Chittagong Stock Exchange (CSE) also kept losing with the CSE All Share Price Index - CASPI -shedding 142 points to settle at 19,596 and the Selective Categories Index - CSCX-losing 83 points to close at 11,778.
Of the issues traded, 193 declined, 69 advanced and 27 remained unchanged on the CSE.
The port-city bourse traded 20.39 million shares and mutual fund units with a turnover value of Tk 916 million.
© 2024 - All Rights with The Financial Express
