Stocks open on dismal note as investors remain cautious after fuel price hike

Stocks opened on a dismal note on Monday, as investors remained cautious about the market’s momentum following the recent adjustment in domestic fuel prices, alongside persistent uncertainties surrounding ceasefire talks in the Middle East.

The government on Saturday raised fuel prices to record highs, increasing diesel by Tk 15 per litre, octane by Tk 20, petrol by Tk 19, and kerosene by Tk 18. The move came amid heightened uncertainty, as Iran reportedly declared the Strait of Hormuz closed shortly after reopening it.

The sharp rise in fuel prices has sent fresh shockwaves through the country’s corporate sector and capital market, raising concerns over profitability, inflation, and overall economic momentum.

Following the previous day’s negative note, the benchmark index of the Dhaka Stock Exchange (DSE) edged up slightly by more than 3 points, or 0.05 per cent, to stand at 5,250 at 11:00 am when the report was filed.

The DS30 index, comprising 30 leading companies, however, fell by 2 points to 1,988. Meanwhile, the DSES index, which tracks Shariah-based companies, rose by 2 points to 1,063.

Turnover, a key indicator of market activity, remained low at Tk 2.47 billion at the time of reporting.

Among the traded issues, 204 advanced, 104 declined, and 79 remained unchanged on the DSE trading floor.

Summit Alliance Port was the most traded stock, with shares worth Tk 175 million changing hands, followed by Lovello Ice Cream, Evince Textile, and Khan Brothers.

Meanwhile, the Chittagong Stock Exchange (CSE) showed a mixed trend, with its All Shares Price Index (CASPI) declining by 0.60 points to 14,751, while the Selective Categories Index (CSCX) gained more than 1 point to reach 9,036.

babulfexpress@gmail.com