Short-term profit-booking pulls stocks down

Stocks slipped into the red on Monday with turnover crossing Tk 10 billion mark after a month, as the risk-averse investors opted for booking profit on quick-gaining shares.

The market remained upbeat in the first half of the trading session while the later half went down amid a short-term profit-booking tendency among investors on recently rallied stocks.

DSEX, the benchmark index of the Dhaka Stock Exchange (DSE), finally went down by 13.60 points to settle at 6,325.

The DSES index, which represents Shariah-based companies, declined 3.62 points to 1,374. However, the DS30 Index, which consists of blue-chip companies, gained 2.03 points to 2,190.

Turnover, the crucial indicator of the market, soared 18 per cent over the previous day to Tk 10.84 billion.

Of the issues traded, 160 saw price erosion, 37 appreciation and 179 remained unchanged.

Low-cap companies dominated the turnover chart with Fu-Wang Food as the most traded stock with shares worth Tk 965 million changing hands, closely followed by Associated Oxygen, Lub-rref Bangladesh and Sea Pearl Beach.

The port city bourse – the Chittagong Stock Exchange – (CSE) also closed lower with CSE All Share Price Index- CASPI-losing 23 points to stand at 18,707.

Of the issues traded, 38 advanced, 97 declined and 82 remained unchanged with Tk 271 million in turnover.

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