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In a reversal, stocks edged up this week, snapping a two-week losing streak, as bargain hunters put fresh bets on selective shares following recent earnings disclosures despite nationwide blockade enforced by BNP.
Opportunistic investors seized opportunities in stocks with the potential for quick gains, while cautious investors were engaged in portfolio rebalancing based on the latest earnings reports, market experts said.
However, a segment of investors adopted a 'wait-and-see' approach, exercising caution amidst growing macroeconomic concerns and escalating political tensions, they said.
Key contributors to the positive shift in the market index were Khan Brothers PP Woven Bag Industries, Apex Footwear, Olympic Industries, Eastern Insurance, and Khulna Printing. They jointly contributed a 10-point increase to the benchmark equity index.
Of the five trading sessions this week, the first two sessions closed higher while the three others suffered losses amid countrywide blockade.
The DSEX, the benchmark index of the DSE, settled the week 3.94 points or 0.06 per cent higher at 6,271.84, after shedding more than 21 points in the previous two consecutive weeks.
The DSES index, which represents Shariah-based companies, gained 3.31 points to 1,362. However, the DS30 Index, which consists of blue-chip companies, shed almost 6 points to close at 2,128.
"The opportunistic investors preferred to take positions in particular hyped-up stocks that they perceived to be lucrative to secure short-term gains," said EBL Securities in its weekly market analysis.
However, the last three days saw corrections as investors were hesitant to take long-term positions in equities and preferred to realise their short-term gains owing to shaky confidence stemming from escalating macroeconomic concerns and growing political uncertainties, said the stockbroker.
The participation of investors, however, increased and the total turnover of the week reached Tk 25.98 billion, up from Tk 21.95 billion in the week before.
Accordingly, the average daily turnover stood at Tk 5.20 billion in the outgoing week, which was 18 per cent higher than the previous week's average of Tk 4.39 billion.
Most of the traded stocks remained confined to the floor. Out of 370 issues traded, 226 remained unchanged, 75 witnessed price surge, and 69 saw price erosion on the DSE trading floor.
Major sectors showed mixed performance, with the jute sector witnessing the price erosion, losing more than 9 per cent, followed by travel & leisure, IT and mutual fund sectors while tannery, paper & printing, engineering, power and general insurance sectors saw price surge.
The food sector kept its dominance in the week's turnover chart, accounting for 19 per cent of the week's total turnover, followed by general insurance and engineering.
Small-cap stocks dominated the turnover list as Fu-Wang Food became the most-traded stocks, with shares worth Tk 1.52 billion changing hands, followed by Emerald Oil Industries, Deshbandhu Polymer, Beach Hatchery and Union Insurance.
Khulna Printing & Packaging was the week's top gainer, soaring 52 per cent while Capitec Grameen Bank Growth Fund was the worst loser, shedding 33.70 per cent.
The Chittagong Stock Exchange (CSE) also rebounded with its All Share Price Index (CASPI) rising 20 points to settle at 18,593 and the Selective Categories Index (CSCX) soaring 13 points to close at 11,121.
The port city's bourse traded 15.10 million shares and mutual fund units with a turnover volume of Tk 399 million.