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The Financial Express

Stocks slip into red as virus fears mount

FE Online report | Published: March 24, 2020 15:36:06 | Updated: March 25, 2020 16:01:06


Stocks fall as virus fears mount

Stock slipped back in the red Tuesday, after a single-day break, as investors turned jittery amid mounting fears over coronavirus outbreak.

DSEX, the key index of the Dhaka Stock Exchange, went down by 8.18 points or 0.20 per cent to settle at 3,976, after gaining 24 points in the previous day.

Market analysts said nervous investors dump their holdings as concerns grow over the economic impact of the coronavirus outbreak.

The government on Monday announced closure of all public and private offices from March 26 to April 4 as part of its efforts to contain the spread of novel coronavirus.

The government also decided to shut mass transportation, including train and river transportation, during the period to prevent the spread of coronavirus.

In line with the government holiday, trading on the bourses will also be closed on March 26 to April 4, said a DSE official.

The presence of investors on the trading floor was thin as the bourses discourage their clients for rushing in the brokerage houses and encourage more for trading through mobile apps and other internet based device.

Bangladesh Securities and Exchange Commission imposed circuit breaker on Thursday last to curb the free-fall of stock prices.

Under the new circuit breaker, price of no security will be allowed to hit below its average closing price of five preceding days.

Two other indices also edged lower. The DS30 index, comprising blue chips, saw a fractional loss of 0.03 point to finish at 1,323 and the DSE Shariah Index lost 1.54 points to close at 917.

Turnover, an important indicator of the market, stood at Tk 1.39 billion, which was 45 per cent lower than the previous day’s turnover of Tk 2.54 billion.

Of the issues traded, 25 advanced, 85 declined and 242 remained unchanged on the DSE trading floor.

Linde Bangladesh topped the turnover chart with shares worth Tk 144 million changing hands, followed by LafargeHolcim, Monno Ceramic, Mercantile Bank and Renata.

Premier Cement was the day’s best performer, posting a gain of 5.43 per cent while Popular Life Insurance was the worst loser, losing 8.09 per cent.

The Chittagong Stock Exchange also edged lower with its All Shares Price Index (CASPI)—losing 22 points to close at 11,250 and the Selective Categories Index - CSCX –shedding 14 points to finish at 6,813.

Of the issues traded, 22 gained, 37 declined and 103 remained unchanged on the CSE.

The port city bourse traded 2.75 million shares and mutual fund units worth Tk 819 million in turnover.

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