Dhaka stocks extend rally for fifth consecutive session

The Dhaka stocks extended rally for the fifth consecutive session on Monday as the cheerful investors deposited fresh funds into share trading expecting positive drive ahead riding on regulatory measures.

On the day, the equity indices of the Dhaka Stock Exchange (DSE) retained the upward trend thanks to the increased participation as DSEX, the benchmark index, by gaining 22.7 points or 0.32 per cent to reach 7,075 points.

The other selective indices also stood at new high, while the market capitalization of DSE stood at the historically highest level of Tk 5,71,887 crore.

Similarly, DSES and DS30 added 7.39 points and 12.65 points respectively to their previous day’s level.

International Leasing Securities, in its daily market commentary, said that the stock market opened marginally lower on Monday after a sharp rise in the last four sessions as the risk-averse investors booked some quick gain.

However, active presence of the bargain hunters – especially in telecom, textile, financial institution, food and fuel & power sectors – helped the index to remain in green, it said.

The investors’ enthusiasm sustained riding on news that credit flow into private sector has been growing gradually as demand for loans, particularly for working capital, rose amid reopening of businesses.

On Monday, the market turnover increased by 1.2 per cent to cross Tk 2,901 crore after 13 sessions.

Top ten traded stocks captured around 27 per cent of total turnover.

EBL Securities, in its daily market commentary, said that the credit flow into the private sector grew 8.38 per cent in July 2021, which depicts a steady sign of the resumption of economic activities.

The investors' participation was agile on the bourse and the total turnover significantly advanced by 1.16 per cent.

On the sectoral front, textile (12.33 per cent), engineering (11.54 per cent), and miscellaneous (11.21 per cent) issues were the most traded stocks on the day’s trading board.

Most of the sectors exerted positive returns, out of which services (5.3 per cent), textile (2.8 per cent), and tannery (2.2 per cent) exerted the most returns.

Meanwhile, paper (-2.5 per cent), jute (-2.3 per cent), and cement (-1.5 per cent) sectors observed corrections on the Dhaka bourse on Monday.

BEXIMCO (9.0 per cent), SAIFPOWER (3.2 per cent) and BXPHARMA (2.4 per cent) led the scrip wise turnover board.

Out of the 368 issues traded, 154 advanced, 184 declined, and 30 remained unchanged.

Meanwhile, the port city bourse, CSE, also charged up in green terrain. The selected indices – CSCX - and All Share Price Index – CASPI - advanced by 61.3 points and 99.3 points respectively.