Stocks end flat after volatile trade

Dhaka stocks closed flat after a volatile session on Monday as investors opted for quick profit booking from early surges.

The market swung between red and green throughout the session with an intraday volatility point was more than 50 points.

The benchmark DSEX index was down marginally about 3 points or 0.04 per cent, extending its losing streak for the second straight session. It hit a high of 7,040 and a low of 6,991.

The Shariah-based DSES index about 4 points or 0.26 per cent up to 1,474 and the blue-chip DS30 index rose slightly 5 points or 0.19 per cent to 2,625.

“Market sentiment remains negative as investors are wary about the market direction, making the market volatile,” said a top broker.

Ceramics, services and real estate, NBFIs, travel and leisure, cement and telecom, life insurance, and banking sectors were down due to profit-booking.

However, tannery, food and allied, paper and printing, engineering, textile, IT and pharmaceuticals attracted the investors.

Turnover stood at Tk 1,275 crore, a decrease of over 22 per cent over the previous session. The volume of trade was led by textile, miscellaneous and pharmaceuticals.

“Cautious investors outperformed the bargain hunters’ as the profit booking temperament on sector-specific stocks took the market index to close nearly flat,” said the EBL Securities in its daily market analysis.

Many investors opted for a sideline approach as they sought opportunities to rebalance their portfolio amid corporate declaration season, it said.

Midas Finance was the worst loser falling over 8 per cent, followed by Fareast Islami Life Insurance, AFC Agro Biotech and Meghan Pet Industries.

Mozaffar Hossain Spinning Mills was the top gainer hitting the upper limit circuit breaker nearly at 10 per cent following its corporate declaration.

Hamid Fabrics rose over 8 per cent, extending its winning streak for the fifth straight session.

Beximco Ltd was the most traded stock, followed by Fortune Showes, IFIC Bank, Orion Pharmaceuticals, Delta Life Insurance and SAIF Powertec.

However, the port city bourse, CSE, settled in green terrain. The selected indices (CSCX) and All Share Price Index (CASPI) advanced by 35.0 points and 58.7 points respectively.