Stocks rebound, DSEX nears 7,200 again

Dhaka stocks staged a rebound and resumed its uptrend on Wednesday due to overall optimism.

The market went into the negative territory soon after opening in tandem with the previous session’s profit-booking sharp fall. Frequent dips were witnessed at regular intervals in the morning.

Then bulls dominated both the final sessions as investors bet on NBFI, cement and engineering stocks.

At close, the benchmark DSEX index recorded an increase of 56 points, or 0.78%, to settle at 7,196.

Two other indices—the Shariah-based DSES index was up 12 points or 0.80 percent to 1,568 and the blue-chip DS30 index moved up 37 points or 1.44 percent to 2,649.

Gainers took a marginal lead over the losers as out of 375 issues traded, 167 closed positive, 153 negative and 56 remained unchanged.

The trading activity improved slightly to Tk 2,104 crore, up from Tk 2,097 crore.

Dominage Steel Systems was the top gainer hitting the upper limit circuit breaker while Kattali Textile Limited was the worst loser falling more than 6 percent.

Shares of four companies, which were recently allowed to return to the mainboard, continued to rally ignoring the regulator’s inquiry about the abnormal price rise.

Of the companies, Tamijuddin Textile Mills and Paper Processing and Packaging hit almost the upper limit circuit at 9.94 percent each. Bangladesh Monospool Paper Manufacturing Co. Limited rose 8.41 percent and Monno Fabrics 3.51 percent.

In February this year, as part of an initiative to reform the over-the-counter (OTC) board of stock exchanges, the BSEC allowed them to return to the main board following their improvement in business.

On Monday, the Bangladesh Securities and Exchange Commission ordered the Dhaka Stock Exchange to investigate an unusual price hike of the companies.