Benchmark index gains, mutual fund shines

The benchmark DSEX index of the Dhaka Stock Exchange gained amid volatility on Sunday, extending its gaining streak for the fourth straight session.

Mutual funds came to the spotlight a day after the securities regulator said it will extend all kinds of assistance to the mutual funds to grow.

Of 37 mutual funds traded, 35 gained and two remained unchanged.

The benchmark DSEX index rose 25 points or 0.34 per cent to settle at 7,367. The index made an intraday high of over 50 points and a low of 1 point.

The Shariah-based DSES index saw a fractional rise of 0.74 point or 0.04 per cent to 1,596. The blue-chip comprising the DS30 index fell 1.6 points or 0.05 per cent to 2,765.

Investors also turned to mutual funds as the fund managers reported better-than-expected weekly net asset value (NAV) of the units, according to dealers.

On Saturday, the Bangladesh Securities and Exchange Commission (BSEC) Chairman Professor Shibli Rubayat-Ul-Islam said, “The market caps of mutual funds should be increased to Tk 1.5 lakh crore from the existing Tk 15,000 crore.”

All the large-cap sectors posted positive performance. Food and allied booked the highest gain of 1.59 per cent, followed by bank 1.53 per cent, engineering 0.44 per cent, and pharmaceuticals 0.06 per cent.

Energy and telecommunication sectors declined.

Far East Knitting & Dyeing Industries was the top gainer jumping over 34 per cent as there was no price limit on the trading of the shares following its corporate declaration.

Sonali Paper & Board Mills was the worst loser hitting almost lower limit circuit breaker at 9.39 per cent.

However, turnover stood at Tk 19,62.8 crore, sharply down 21.4 per cent compared to the last trading day.

LafargeHolcim Bangladesh Limited was the most traded share with a turnover of Tk 1, 30 crore. It was followed by IFIC Bank, Power Grid Company of Bangladesh, Beximco Ltd, Orion Pharma, and Paramount Textile.

“The market witnessed portfolio restructuring strategy as investors aimed to take a position in the dividend-paying companies ahead of upcoming financial disclosures,” said the EBL Securities in its market analysis.

The port city bourse, CSE, settled in the green trajectory. The selected indices (CSCX) and All Share Price Index (CASPI) advanced by 42.0 points and 74.7 points respectively.