Stocks see downward trend at opening

FE ONLINE REPORT | Tuesday, 17 May 2022

The market opened marginally lower at opening on Tuesday, maintaining the previous day’s downturn, as the nervous investors kept selling binge amid concerns over the country’s macroeconomic situation.

Following the previous day’s steep fall, DSEX, the prime index of the Dhaka Stock Exchange (DSE), went down further by 21.48 points or 0.33 per cent to stand at 6,409, after the first hour of trading at 11:00am.

Two other indices also saw downturn till then with the DS30 index, comprising blue chips, losing 10.48 points to reach 2,355 and the Shariah Index (DSES) shed 2.10 points to stand at 1,408.

Turnover, another important indicator of the market, amounted to Tk 2.43 billion after the first hour of trading at 11:00am.

Market analysts said fear over possible bank interest rate hike, the global commodity price instability coupled with Sri Lanka’s economic and political turmoil hit investors’ sentiment.

“Some news such as devaluation of local currency and rise in costs of imports might have an impact on the sentiment of general investors who executed panic sales,” said a merchant banker on anonymity.

Of the issues traded till then, 149 declined, 148 advanced and 68 issues remained unchanged on the DSE trading floor till then.

Shinepukur Ceramics was the most traded stock till then with shares worth Tk 275 million changing hands, closely followed by JMI Hospital Requisite Manufacturing, Orion Pharma, Salvo Chemicals and Beximco.

The Chittagong Stock Exchange also saw a downward trend till then with its All Shares Price Index (CASPI)—losing 44 points to stand at 18,822 the Selective Categories Index – CSCX shed 27 points to reach 11,294 at 11:00am.

Of the issues traded till then 87 declined, 54 advanced and 26 remained unchanged with Tk 51 million in turnover.

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