The Financial Express

Stocks rise after Bangladesh Bank reduces repo rate

| Updated: September 28, 2020 16:35:18

Stocks rise after central bank reduces repo rate

Stocks witnessed upward trend in early hours of trading on Sunday as optimistic investors showed appetite on sector-wise issues riding on the news of interest rate cut on stock investment fund.

Bangladesh Bank Thursday reduced the interest rate on borrowing from its special investment fund to 4.75 per cent from 5.0 per cent, aimed at helping the country’s lenders increase their stock investment capacity.

Following the previous week’s downward ending, the Dhaka Stock Exchange (DSE) opened higher with key index rose 32 points within first 15 minutes of trading.

After that the index slowed down some extent as the session progressed. After first 30 minutes of trading, the DSEX gained 28 points.

DSEX, the prime index of the DSE, went up by 28 points or 0.64 per cent to reach 5,009 points at 10:30am.

The DS30 index, comprising blue chips, also advanced 2.24 points to reach at 1,703 and the Shariah Index (DSES) 4.30 points to reach 1,130 points till then.

Turnover, the another important indicator of the market, stood at Tk 1.93 billion when the report was filed at 10:30am which was Tk 1.41 billion in the previous day at 10:30am.

Of the issues traded till then, 213 advanced, 49 declined and 50 remained unchanged.

The insurance sector dominated the turnover chart till then with Shandhi Life was the most traded stocks till then with shares worth Tk 302 million changing hands, closely followed by Pioneer Insurance, Asia Pacific Insurance and GSP Finance.

The port city bourse – the Chittagong Stock Exchange – (CSE) also saw positive till then with CSE All Share Price Index- CASPI-gaining 24 points to stand at 14,234, also at 10:30am.

The Selective Categories Index – CSCX also gained 11 points to reach 8,534 till then.

Of the issues traded till then, 47 gained,14 declined, and 13 issues remained unchanged with Tk 43 million in turnover.

[email protected]

Share if you like