Stocks snap three-day rally amid profit booking sell-offs

Stocks witnessed a marginal correction Wednesday, snapping a three-day record-breaking gaining streak, as risk-averse investors preferred to book profit on quick-gaining issues.

After setting records in the previous day, the market opened on a high note and the key index crossed the 6,900-mark but failed to sustain that level amid profit booking sell-offs.

At the end of the session, DSEX, the key index of the Dhaka Stock Exchange (DSE), went down by 5.92 points or 0.08 per cent to settle at 6,878, after gaining 124 points in the past three straight sessions.

Two other indices also edged lower with the DS30 index, a group of 30 prominent companies, fell 3.86 points to settle at 2,459 and the DSE Shariah Index (DSES) shed 1.27 points to close at 1,493.

Market analysts said the risk-averse investors booked some profit on financial stocks which saw a significant gain in the past few trading days.

"Many stock prices were up by at least 10 per cent to 15 per cent due to the rising trend in the last few days. So, investors are taking in their profits now," they said.

Turnover, a crucial indicator of the market, stood at Tk 25.70 billion on the country’s premier bourse, which was 7.0 per cent lower than the previous day’s tally of Tk 27.62 billion.

Losers took a modest lead over the gainers, as out of 376 issues traded, 196 declined, 152 advanced and 26 remained unchanged on the DSE trading floor.

Beximco, the flagship company of Beximco Group, topped the turnover list with shares worth Tk 873 million changing hands, closely followed by Islamic Finance (Tk 860 million), LankaBangla Finance (Tk 809 million), Shahjibazar Power (Tk 661 million) and Power Gris Company (Tk 472 million).

CVO Petrochemicals Refinery was the best performer, posting a gain of 10 per cent while HR Textile was the worst loser, losing 5.56 per cent.

The Chittagong Stock Exchange also ended marginally lower with its All Shares Price Index (CASPI)—shedding 7.50 points to finish at 200,57 while the Selective Categories Index – CSCX losing 4.77 points to close at 12,024.

Of the issues traded, 158 declined, 139 advanced and 28 issues remained unchanged on the CSE.

The port city bourse traded 36.25 million shares and mutual fund units with a turnover value of Tk 1.0 billion.

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