Bangladesh
4 years ago

Stocks stay afloat on buying spree

DSEX adds 195 points in seven straight sessions

Published :

Updated :

Stocks ended higher on Monday, the first session after Eid holiday, as investors continued their buying spree on large-cap issues after the central bank unveiled the expansionary monetary policy statement.

The Bangladesh Bank unveiled an expansionary monetary policy for the current fiscal year lowering borrowing costs to boost up the money flow for revamping the pandemic-hit economic activities, particularly private sector credit growth and the country’s ailing capital market.

Market operators said investors hoped that the announced monetary policy statement would rejuvenate the battered economy and persuade institutional investors to pour money into the capital market.

The market opened on a high note and the upward trend continued until the end of the session with no sign of reversal.

DSEX, the key index of the Dhaka Stock Exchange, went up by 57.38 points or 1.36 per cent to settle at 4,271 during the four hours trading.

DSEX added more than 195 points in the past seven consecutive sessions, hitting five months high since March 8, although the market was closed two months due to pandemic.

The central bank’s expansionary monetary policy, gradual reopening of the economy coupled with no major spike in daily Covid-19 infected cases encouraged investors to take positions in sector-wise stocks, said a merchant banker.

The securities regulator’s hard stance on ensuring mandatory 2.0 per cent shareholding by each director of listed companies had also a positive impact on the stock prices in recent times, he said.

Turnover, another important indicator of the market, stood at Tk 6.72 billion on the country’s prime bourse, which was nearly 16 per cent higher than the previous day’s turnover of Tk 5.81 billion.

Two other indices also ended higher. The DS30 index, comprising blue chips, rose 22.14 points to finish at 1,442 and the DSE Shariah Index soared 16.63 points to close at 993.

Of the issues traded, 192 advanced, 62 declined and 101 issues remained unchanged on the DSE floor.

A total number of 143,216 trades were executed in the day’s trading session with a trading volume of 240.96 million shares and mutual fund units.

The market-cap on the premier bourse also rose to Tk 3,287 billion on Monday, from Tk 3,257 billion in the previous session.

Square Pharma topped the turnover chart with shares worth Tk 304 million changing hands, closely followed by Beximco Pharma, Pioneer Insurance, Beximco and Standard Ceramic.

Active Fine Chemical was the day’s best performer, posting a gain of 10 per cent while Al-Arafah Islami Bank was the worst loser, losing 8.07 per cent.

The Chittagong Stock Exchange also ended higher with its All Shares Price Index (CASPI)—soaring 165 points to close at 12,122 and the Selective Categories Index - CSCX –advancing 97 points to finish at 7,347.

Of the issues traded, 144 gained, 27 declined and 75 remained unchanged on the CSE.

The port city bourse traded 138 million shares and mutual fund units with turnover value of Tk 7.12 million.

[email protected]

Share this news