DSE wipes out Tk 442b in market cap in seven days
Stocks keep going downhill on coronavirus pangs
The benchmark index of the Dhaka Stock Exchange (DSE) erased 683 points in seven straight sessions since Bangladesh confirmed the first case of coronavirus on March 8.
The market also lost Tk 442 billion in market capitalisation in these seven trading days.
On Wednesday, the market opened on flying note and the key index jumped more than 106 points within five minutes of trading riding on the news that the banks have started to invest in the stock market.
But the positive momentum failed to sustain as panic-driven investors resumed sell-off to avoid further losses.
At the end of the session, DSEX, the benchmark index, settled at 3,603, losing 169 points or 4.46 per cent. The index sank below 3,650-mark, the lowest in nearly seven years since May 9, 2013.
On March 9, just a day after Bangladesh confirmed three cases of Covid-19, DSEX shed 279 points, registering the biggest single-day fall since its inception in 2013.
Market operators said jittery investors dumped their holdings over concerns brought on by the coronavirus pandemic, which roiled the world economy.
Meanwhile, Bangladesh reported the first death from coronavirus infection on Wednesday.
Two other DSE indices also saw a sharp fall on Wednesday. The DS30 index, comprising blue chips, dropped 61.63 points to close at 1,203 and the DSE Shariah Index lost 39.28 points to finish at 834.
Turnover, an important indicator of the market, stood at Tk 4.29 billion, registering an increase of 5.66 per cent over the previous day's turnover of Tk 4.06 billion.
Among major sectors, food witnessed the highest loss of 5.93 per cent, followed by power (5.68 per cent), engineering (5.65 per cent), financial institutions (5.11 per cent), telecoms (4.58 per cent), pharma (3.98 per cent) and banking sector (2.77 per cent).
Of 356 issues traded, 333 closed lower, only 13 ended higher and 13 remained unchanged on the DSE trading floor.
A total of 137,191 trades were executed in the day's trading session, with trading volume standing at 178.48 million shares and mutual fund units.
The market-cap of the DSE also fell to Tk 2,873 billion on Wednesday from Tk 2,988 billion in the previous session.
Square Pharma topped the turnover chart with shares worth Tk 186 million changing hands, closely followed by Grameenphone, Monno Ceramic, LafargeHolcim and Orion Pharma.
EBL First Mutual Fund was the day's best performer, posting a gain of 5.40 per cent while ICB AMCL Third NRB Mutual Fund was the worst loser, shedding 10 per cent.
The Chittagong Stock Exchange (CSE) also ended lower, with its All Shares Price Index (CASPI) losing 442 points to close at 11,133 and the Selective Categories Index -- CSCX -- settling 270 points lower at 6,746.
Here too, the losers beat gainers, as 219 issues closed lower, 19 ended higher and 10 remained unchanged on the CSE.
The port city bourse traded 10.11 million shares and mutual fund units worth more than Tk 156 million in turnover.