Stocks slump on profit booking

FE ONLINE REPORT | Sunday, 17 January 2021

Stocks ended lower on Sunday, after a single-day break, as risk-averse investors booked profits on quick-gaining stocks.

DSEX, the prime index of the Dhaka Stock Exchange (DSE), went down by 58.87 points, or 0.99 per cent, to settle at 5,850, after witnessing a big jump in the previous session.

However, turnover, a crucial indicator of the market, rose to Tk 23.84 billion on the country’s premier bourse, climbing further by 15 per cent over the previous day’s mark of Tk 20.70 billion.

Market analysts said many stocks rose 15 to 20 per cent in the last few trading sessions so many investors opted for booking profits by selling some shares.

Top negative index contributors of the market were Robi Axiata, Walton, Beximco, Square Pharma and LafargeHolcim.

However, the investors who are optimistic continued their buying appetite on sector-specific stocks riding on regulatory efforts to establish a stable and vibrant capital market, said a merchant banker.

Two other indices also ended lower. Of them, DSE 30 comprising blue chips, lost 27.95 points to finish at 2,208 and DSES dropped 24.18 points to close at 1,299.

The losers took a strong lead over the gainers, as out of 364 issues traded, 231 closed in the red, 77 in the green and 56 remained unchanged on the DSE trading floor.

Robi Axiata topped the turnover chart with 39.99 million shares worth Tk 2.81 billion changing hands, followed by Beximco, LankaBangla Finance, Summit Power and Beximco Pharmaceuticals.

The banking sector dominated the gainer’s chart with City Bank, the day’s best performer, posting a gain of 9.50 per cent.

Jute Spinners was the worst loser of the day, losing 9.99 per cent.

Chittagong Stock Exchange (CSE) also ended lower with the CSE All Share Price Index – CASPI – losing 177 points to settle at 17,047 and the Selective Categories Index – CSCX shedding 103 points to close at 10,287.

Of the issues traded, 168 declined, 81 advanced and 30 remained unchanged on the CSE.

The port city’s bourse traded 42.88 million shares and mutual fund units with THE turnover value standing at Tk 1.51 billion.

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