The market turned around Tuesday after experiencing steep correction in the last three sessions with turnover improved slightly as investors went for buying spree on large cap stocks.
The market opened with a positive mood and shot up by almost 95 points in the first hour and remained up for the rest of the session. DSEX, the prime index of the Dhaka Stock Exchange (DSE) ended at 5,233.82 points, gaining 89.32 points or 1.73 per cent.
The other two indices also ended higher. The DS30, comprising blue chips advanced 38.77 points or 2.00 per cent to close at 1,972.04 points. The DSE Shariah Index went up by 26.15 points or 2.16 per cent to close at 1,233.48 points.
The total turnover on DSE improved to Tk 6.94 billion, registering an increase of 16.3 per cent over the previous day's 24-session's low value of Tk 5.96 billion.
The investors' attention remained mostly concentrated on power, engineering and pharma - the sectors that accounted for 21.49 per cent, 14.44 per cent and 11.60 per cent respectively of the day's total turnover.
"The market shrugged off its pessimistic vibe as the investors rejuvenated after three days of dismal trading," said International Leasing Securities in an analysis.
Stocks from the major sectors recovered most of their loss from previous sessions amidst the investors' regained confidence regarding the whole market, said the International Leasing.
"Market reclaimed 5,200-mark as large-cap and mid-cap stocks tuned-up and market participant showed some zeal for banking, pharma and power stocks," said LankaBangla Securities.
As per the central bank's statistics, disbursement of the total industrial term loans during April-June 2014 was higher by 23.47 per cent or Tk 114.62 billion compared to Tk 92.83 billion during January-March quarter.
"This indicates growing business activities in economy, which conveyed positive cues to the equity market," said the stock broker.
"Breaking last three sessions' pessimism, market bounced back amid improved activity," said IDLC Investments.
All the large cap sectors ended in green. Pharmaceuticals posted the highest return of 2.17 per cent. Power and banks went up by 1.69 per cent and 1.36 per cent respectively.
Telecommunication, food and allied and NBFIs sectors also gained 1.17 per cent, 1.02 per cent and 0.71 per cent respectively.
Activities increased in the major bourse (DSE) where trade and volume were up by 5.26 per cent and 10.8 per cent respectively. A total of 0.126 million trades were executed with 150.53 million securities of trading volume.
The gainers took a lead over the losers as out of 301 issues traded, 227 advanced, 41 declined and 33 remained unchanged on the DSE floor.
The total market capitalization of the DSE stood at Tk 3,442.21 billion against Tk 3,397.39 billion in the previous session.
MJL BD was the most traded stock with shares worth Tk 324.51 million changing hands followed by KPCL, Square Pharma, GP and RSRM Steels.
FAR Chemical was the day's highest gainer, posting a rise of 10 per cent while EBL NRB Mutual Fund was the day's worst loser, slumping by 9.85 per cent.
The port city bourse, Chittagong Stock Exchange (CSE) also returned to the green with its Selective Categories Index - CSCX - gained 145.08 points to close at 9,823.05 points.
Gainers beat losers 153 to 54, with 16 issues remaining unchanged at the port city bourse that traded 12.10 million shares and mutual fund units, turnover value of Tk 440.68 million.
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