Stocks see eventful week, stay flat
BI Report || BusinessInsider
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Dhaka stocks closed flat in the past week after recovering some of their losses seen in the previous three weeks due to the uncertainty induced by the second wave of the Covid-19 pandemic.
The benchmark DSEX index of the Dhaka Stock Exchange (DSE) edged over 15 points or 0.3% down to settle at 5,254, adding to the losses of more than 300 points in the past three weeks.
The Shariah-based DSES index was slightly down about 5 points or 0.41% to 1,197 while the blue-chip comprising DS30 index rose 7 points or 0.36% to 1,990.
Out five trading sessions shortened to two hours from four-and-a-half hours, the market plunged on the first trading session on lockdown panic sale and the last session on floor price withdrawal for several companies, and mid three sessions on raising margin loan ratio and easing lockdown.
“The market witnessed an eventful week due to regulatory decisions and easing lockdown. Margin loan enhancement decision leaves a positive impact and floor price withdrawal negative impact,” said a stockbroker.
To arrest the market fall, the Bangladesh Securities and Exchange Commission allowed stock lenders to provide Tk 80 in loan against investment of Tk 100 on Monday.
On Thursday, it lifted the floor price for 66 listed companies set a year ago when the market was falling caused by the first wave of the Covid-19 pandemic.
Among major sectors, general insurance, ceramics, and telecom sectors experienced price appreciation while textile, travel and leisure, and engineering sectors faced correction.
Out of the top ten gainers, nine companies came from the insurance sector. Newly listed Desh General Insurance was the largest gainer, followed by Bangladesh National Insurance, Provati Insurance, Purabi General Insurance, and Northern General Insurance.
On Wednesday, Index Agro Industries hit its upper limit circuit breaker at 50% to Tk 75 on its debut day but lost more than 3% to Tk 72.4 on its second trading day.
No buyers were not seen interested in betting on the new stocks after it reported profits decline in quarter two of the current fiscal year.
