Home ›› 26 Nov 2021 ›› Stock
After Wednesday’s plunge, the benchmark DSEX on Thursday languished in the red for most of the session and closed sharply down at a three-week low amid fears of political and economic uncertainties.
The persistent slide in stocks made investors cautious, causing the significant fall of the turnover that stood at over Tk 849 crore, down almost 25 per cent over the previous session and lowest since April 27, 2021, when the figure was Tk 824 crore.
The DSEX ended with a loss of 65 points or nearly 1 per cent to settle at 6,852—its lowest since November 8 this year when it was 6,799.
Banks that remained under pressure due to rising bad loans and liquidity crunch continued to face the selling pressure, contributing to speed up the fall of the market, dealers say.
Beximco Ltd, Square Pharmaceuticals, Beximco Pharmaceuticals, Walton Hi-Tech Industries, Robi, BRAC Bank, and City Bank were among the key DSEX constituents that declined.
However, heavy buying was seen in debutant Sena Kalyan Insurance Company and ACME Pesticides. The two companies continued to rise since their debut.
“Political uncertainty and intensified student protests over bus fare accelerated the market fall today,” said a top stockbroker.
And persistent concerns over the economy following rising inflation, widening trade deficit, and currency devaluation also kept investors jittery, he added.
Critically sick Khaleda Zia, the 76-year-old leader of the Bangladesh Nationalist Party and arch-rival of the ruling Awami League, has been barred by a court from traveling abroad, generating political uncertainty. The government has already directed the police to remain on “red alert” across the country so that no individuals can create “chaos and unwanted situation”.
Thursday is the fifth straight session of decline with the DSEX having lost 239 points. It hit a high of 6,922 and a low of 6,845.
Among the major sectors, non-banking financial institutions, telecommunications, pharmaceuticals, textile, and engineering also suffered.
“Investors mostly have taken a sideline approach amid the bearish vibe and remained vigilant to restructure portfolios considering the ongoing pessimism in the market,” said EBL Securities in its market analysis.
The selected indices (CSCX) and All Share Price Index (CASPI) declined by 130.0 points and 211.6 points respectively.
