Stocks tumbled for the third running session Monday amid high volatility with turnover remained sluggish as substantial profit taking from the blue-chip stocks led to further correction.
The market started moving higher at the beginning, but sooner after that market became volatile. After moving lower for much of the trading day, index climbed well off their lows for the session but still ended the day in the red.
At the end of the session, DSEX, the prime index of the Dhaka Stock Exchange (DSE) ended at 5,144.50 points, shedding 32.24 points or 0.62 per cent from previous session.
The other two indices also ended lower. The DS30, comprising blue chips lost 20.87 points or 1.06 per cent to close at 1,933.26 points. The DSE Shariah Index went down by 10.19 points or 0.83 per cent to close at 1,207.32 points.
Trading at DSE remained sluggish, accumulating below Tk 6.0 billion, lowest in 5 weeks. The total turnover amounted to Tk 5.96 billion, registering a decline of 13.68 per cent over the previous session's value of Tk 6.87 billion.
The investors' attention was mostly concentrated on power, engineering and pharma - the sectors that accounted for 20 per cent, 13 per cent and 12 per cent respectively of the day's total turnover.
"The market prolonged its bearish outlook as the investors' sell-off continued throughout the day," said International Leasing Securities, in its regular market analysis.
Despite the market witnessed downturn movement, several small caps stocks from various sectors outperformed the day's trading amidst quarterly earnings disclosure and expectation of future profitability, said the International leasing.
IDLC Investments said: "The downturn spiral continued in capital market, amid slowing market participation and weakening investors' confidence".
"Stocks extended the recent sell-off despite the release of upbeat of economic data," said LankaBangla Securities.
Remittance data showed 28.63 per cent rise on September'14 compared to same month of previous year.
"Substantial profit taking from the blue-chip stocks has led to this further correction in the index," said BRAC EPL, a stock brokerage.
NBFIs which gained 0.81 per cent, was the only sector among the large cap stocks that appreciated in the session. Banks closed flat with 0.03 per cent gain.
All the other major sectors closed in red. Food and allied retraced the highest by 1.36 per cent. Power and telecommunication went down by 0.88 per cent and 0.84 per cent respectively. Pharmaceuticals closed 0.51 per cent lower.
The losers took a lead over the gainers as out of 298 issues traded, 166 declined, 100 advanced and 32 remained unchanged on the DSE floor.
The port city bourse, Chittagong Stock Exchange (CSE) also saw marginal decline with its Selective Categories Index - CSCX - lost 39.45 points to close at 9,677.96 points.
Losers beat gainers 138 to 65, with 22 issues remaining unchanged at the port city bourse that traded 11.84 million shares and mutual fund units, turnover value of Tk 465.89 million.
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