Stocks turned around Monday after witnessing correction in the last three consecutive sessions with turnover remained sluggish as the investors went for late hours buying spree on large cap stocks.
Analysts said that the corporate earnings are directing market movement. Third quarter corporate earnings of most of the listed companies, especially banks are showing positive growth which might encourage the investors.
"The investors are expecting a growth in banks profits will continue in the last or fourth quarter too and a good return from their investment," said an analyst.
After opening the day with mode of consolidation, stocks have moved mostly higher at the end Monday. DSEX, the prime index of the Dhaka Stock Exchange (DSE) ended at 5,157.24 points, gaining 45.60 points or 0.89 per cent.
The other two indices also closed positive territory. The DS30, comprising blue chips gained 19.63 points or 1.02 per cent to close at 1,946.52 points. The DSE Shariah Index advanced 8.02 points or 0.66 per cent to close at 1,213.39 points.
However, the turnover at DSE remained dry and hovered around Tk 5.0 billion mark for the last three sessions. The turnover stood at Tk 5.05 billion which was 4.53 per cent lower compared to previous session's value of Tk 5.29 billion.
The investors' attention was mostly concentrated on power, pharmaceuticals and banks - the sectors that accounted for 22 per cent, 13 per cent and 10 per cent respectively of the day's total turnover.
"The stock market bounced back from its three day's of correction as the bullish trend of large cap stocks showed the investors possible signs of market's recovery," commented International Leasing Securities in an analysis.
The investors seemed to have lost faiths over the market's overall turnaround until the DSEX recovered more than 50 points of the final hours of the day's trading session, it said.
Most of the sectors revamped after their sluggish start on the day as the investors became interested in large cap multinational stocks along with a few small cap issues, said the International Leasing.
The port city bourse, Chittagong Stock Exchange (CSE) also rebounded after three session's fall with its Selective Categories Index - CSCX - gained 60.74 points to close at 9,675.72 points.
Gainers beat losers 96 to 94, with 29 issues remaining unchanged at the port city bourse that traded 8.49 million shares and mutual fund units, turnover value of Tk 341.16 million.
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