Stocks soared on Sunday, the maiden session of 2021, with the core index of Dhaka Stock Exchange (DSE) exceeded 5,600-mark, as investors reacted positively to the series of market supportive measures of the securities regulator.
DSEX, the prime index of the DSE, soared 216.89 points or 4.01 per cent to settle at 5,618. It has been the highest since March 19, 2019, when DSEX was 5,631.
The DSEX also saw the biggest single-day spike on Sunday in a year since January 19, 2019, when DSEX jumped 233 points or 5.62 per cent.
Total market-cap of DSE surged Tk 164 billion over the previous session to Tk 4,646 billion, hitting a fresh all-time high on Sunday as the price of large-cap stocks keeps soaring.
Turnover, a crucial indicator of the market, stood at Tk 19.25 billion on the country’s premier bourse, climbing further by 25 per cent over the previous day’s mark of Tk 15.43 billion.
It was also the highest turnover in six months since June 28, 2019, when turnover recorded Tk 25.43 billion, thanks to block transaction of GSK Bangladesh.
Market analysts said the investors kept their buying spree on major sector stocks amid high expectations riding on the series of market supportive moves of securities the regulator, vaccination news, rolling out second stimulus packages and falling interest rates.
After passing a vibrant year, the investors’ enthusiasm sustained in the opening day the year, as the institutional investors, including global fund managers, were putting fresh bet on the market amid high hopes.
The country’s capital market passed 2020 with compared to the bourses in the region, posting a 949-point or 21.3 per cent gain, helped by large-cap stocks and supportive measures.
Factors like lower returns on the money market amid liquidity glut, hope for the Covid-19 vaccine and strong regulatory actions against wrongdoers prompted sideline investors to inject fresh funds into stocks, said a merchant banker.
“The rally has been largely supported by high market liquidity and fundamentally strong stocks like telecom, banking and non-bank financial institutions sectors,” he added.
He said stock market regulator took some market supportive steps in the past few months which boosted the investors’ confidence.
Two other indices also ended higher. The DSE 30 Index comprising blue chips jumped 115 points to finish at 2,078 and the DSE Shariah Index (DSES) soared 57.40 points to close at 1,299.
Gainers took a strong lead over the losers, as out of 361 issues traded, 253 closed green, 58 in the red and 50 remained unchanged on the DSE trading floor.
Beximco Pharma topped the turnover chart with 9.62 million shares worth Tk 1.98 billion changing hands, followed by IFIC Bank, Beximco, LafargeHolcim and LankaBangla Finance.
Beximco was the day’s best performer, posting a gain of 10 per cent while Rahima Food was the worst loser, losing 7.18 per cent.
The Chittagong Stock Exchange (CSE) also ended the bullish note with the CSE All Share Price Index – CASPI –soaring 672 points to settle at 16,265 and the Selective Categories Index – CSCX advancing 406 points to close at 9,810.
Of the issues traded, 208 advanced, 42 declined and 33 remained unchanged on the CSE.
The port city’s bourse traded 28.57 million shares and mutual fund units with a turnover value of Tk 673 million.