Stocks extended the losing streak for the third straight session on Wednesday, as jittery investors dumped their holdings to avoid further erosion of their portfolios amid concerns over the country's macroeconomic situation.
The prime index of the Dhaka Stock Exchange (DSE) fell 47.45 points to settle at 5,739.
The market witnessed high volatility throughout the session, as investors, particularly the retail ones, went for panic sales amid workers' demonstrations in several factories, including of the listed companies on the outskirts of the capital in Savar, Ashulia, Dhamrai, and Gazipur for the last few days.
If the workers continue the strike, there will be a long-term impact on production and as well as on profitability of the listed companies, market operators said.
Stocks plunged further on Wednesday as workers' demonstrations made investors nervous, prompting them to exert sell-pressure on the bourse, according to a merchant banker.
Risk-averse investors continued their sell-offs and preferred to stay on the sideline to observe the market's trend.
The benchmark index of the Dhaka bourse extended its correction mode for the third consecutive sessions as investors preferred to wait for lucrative investment opportunities following corrections, said EBL securities.
The blue-chip index DS30, a group of 30 prominent companies, saw a reduction by 19.85 points to 2113, while the DSES Index, which represents Shariah-based companies, saw a 9.62-point decline to 1,227.85.
Market volatility persisted throughout the session as sellers continued their dominance due to the weakening strength of the market's momentum, added EBL securities.
"The correction was mainly due to profit-taking on stocks that saw significant price appreciation in the last few trading days," said Md. Shakil Rizvi, managing director of Shakil Rizvi Stock Ltd.
Turnover, a crucial indicator of the market, stood at Tk 5.93 billion, down 18.31 per cent from the previous trading day.
A majority of the stocks saw a price decline, as out of the 397 issues traded, 81 closed higher, 264 ended lower, and 52 remained unchanged on the DSE trading floor.
BRAC Bank was the most-traded stock with shares worth Tk 475.94 million changing hands, followed by Agni Systems Ltd., IBN SINA Pharmaceutical, Grameenphone Ltd. and IFIC Bank PLC.
The Chittagong Stock Exchange (CSE) also ended lower with its All Share Price Index (CASPI) losing 63.15 points to settle at 16438 and the Selective Categories Index (CSCX) losing 41 points to settle at 9909. The port city bourse traded 2.53 million shares and mutual fund units with a turnover volume of Tk 76.58 million.
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