Profit-taking drags stocks down

Dhaka stocks declined for a second successive day on Tuesday as profit-booking remained evident throughout the session.

Following a brief open in the positive zone, the market began to descend and entered the negative territory. A few attempts made to wipe out the losses proved futile and the first half of the session ended with a drop in the indexes.

The second half began with a further dip, but market participants insurance stocks, which helped lift the index upwards. The buying spell erased some of the losses by the session’s end.

At close, the benchmark DSEX index of the Dhaka Stock Exchange shed 31 points or 0.43 per cent to settle at 7,313.

The Shariah-based DSES index lost 5 points or 0.35 per cent to 1,591. The blue-chip comprising the DS30 index fell 7 points or 0.26 per cent to
2,749.

The trading activities remained almost static as the DSE turnover stood at Tk 1,863 crore, marginally up from Tk 1,848 crore.

“Investors trimmed their position in sector outperformers and favored selling shares that have reached their peak,” said the EBL Securities in its market analysis.

However, as the earning disclosure of listed companies is expected to be higher this year, bargain hunter investors will opt to take positions in the dividend-paying companies, it said.

All the large-cap sectors posted negative performance today. NBFI experienced the highest loss of 2.75 per cent followed by telecommunication 1.22 per cent, engineering 0.97 per cent, fuel and energy 0.74 per cent, and food and allied 0.20 per cent.

Bank, and pharmaceutical sectors closed inched up.

Shares of 375 companies were traded. At the end of the day, 93 stocks closed higher, 244 declined and 38 remained unchanged.

Tamijuddin Textile Mills that was recently shifted from the OTC to the main board was the worst loser slumping more than 7.51 per cent. It was followed by Envoy Textile, Tallu Spinning, Alif Manufacturing Company, Maksons Spinning, Ambee Pharmaceuticals and SAIF Powertec.

NRBC Bank was the top gainer hitting the almost upper limit circuit breaker at 9.71 per cent, followed by Kattali Textile, Deshbandhu Polymer, GBB Power, Intech, and Advent Pharma.

LafargeHolcim Bangladesh Limited was the most traded stock, followed by Orion Pharma, IFIC Bank, Power Grid, Delta Life Insurance, Fortune Shoes, and SAIF Powertec.