Stocks snap six-day rally on profit booking

Stocks slipped into the red on Tuesday, snapping a six-day rally, as shaky investors preferred to book profit on quick-gaining stocks.

Following the record-breaking rally in the past six straight sessions, the Dhaka bourse opened higher, but profit booking sell-offs in sector-wise stocks wiped out the early gains.

DSEX, the prime index of the Dhaka Stock Exchange (DSE), went down by 10.30 points or 0.15 per cent to settle at 6,617, after hitting a record high the previous day.

Market experts said the cautious investors booked some profit on stocks that saw a significant gain in the past few trading days, taking the market into the red territory.

The witnessed moderate correction as risk-averse investors booked profits on sector-wise stocks, said a merchant banker.

Two other indices also edged lower after hitting a record high in the previous day with the DSE 30 Index, comprising blue chips, fell 8.52 points to finish at 2,384 and the DSE Shariah Index (DSES) shed 9.64 points to close at 1,442.

Turnover, a crucial indicator of the market, registered at Tk 28.40 billion, it's third single-day highest, which was 3.36 per cent lower than the previous day’s second-highest of Tk 29.39 billion.

The all-time-high turnover on the DSE was Tk 32.49 billion recorded on December 5, 2010, when the market saw a bull run before a crash.

Losers took a strong lead over the gainers, as out of 375 issues traded, 223 declined, 137 advanced and 15 issues remained unchanged on the DSE trading floor.

Beximco - the flagship company of Beximco Group- continued to dominate the turnover chart with shares worth Tk 1.67 billion changing hands, followed by IFIC Bank (Tk 1.04 billion), LafargeHolcim Bangladesh (Tk 653 million), Orion Pharma (Tk 548 million) and Appollo Ispat (Tk 426 million).

National Housing Finance & Investment was the day’s top gainer hitting the upper limit circuit breaker with a 10 per cent rise, while Dacca Dyeing was the worst loser, losing 8.61 per cent.

A total number of 392,759 trades were executed in the day’s trading session with a trading volume of 941.70 million shares and mutual fund units.

The Chittagong Stock Exchange (CSE) also edged lower with the CSE All Share Price Index – CASPI –losing 7.93 points to settle at 19,281 and the Selective Categories Index – CSCX shedding 7.83 points to close at 11,566.

Of the issues traded, 181 declined, 132 advanced and 17 issues remained unchanged on the CSE.

The port city’s bourse traded 48.12 million shares and mutual fund units with a turnover value of Tk 1.02 billion.

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