Dhaka, Friday


29 March 2024


Business Insider Bangladesh

Manipulation cycle responsible for decline in stock market capitalisation!

BI Report || BusinessInsider

Published: 02:25, 21 October 2021  
Manipulation cycle responsible for decline in stock market capitalisation!

Representational Image. BI Graphics.

The Dhaka stock market has been plummeting in the last few days as investors respond to some rumors.

The regulatory body, the Bangladesh Securities and Exchange Commission (BSEC), has already identified those rumor mongers and collaborating lone broker house.

A senior BSEC official told the Business Insider Bangladesh, “When the index was rising normally in the market on Tuesday, a broker house was under pressure to sell shares for the purpose of letting the index fall.”

“The BSEC has identified them and legal action will be taken against them,” he added.

However, showing some decency, he did not mention the name of the conspirator or his organisation.

Meanwhile, the BSEC Commissioner Professor Sheikh Samsuddin Ahmed said on Tuesday that a group of people are spreading rumors to destabilise the stock market. This matter is being investigated.

He said hearsay was circulating in the market that the BSEC chairman was going to resign.

The influential BSEC commissioner said there was nothing to fear or panic about the stock market, now.

“If someone or a group wants to manipulate the capital market, to the detriment of investors, we can now easily identify. Strict action will be taken against them,” he warned.

Meanwhile, the non-stop decline has turned Dhaka stock market into a bearish one from bullish in just two weeks.

At the end of trading on Tuesday, DSEX, the benchmark index of the Dhaka Stock Exchange, fell by over 76 points or 1.08 percent to close the day at 7,020.

With this latest decline, DSEX dropped by 347 points in the last seven trading days and investors lost Tk 17,566 crore in market capitalisation during the period.

As a result, the ordinary investors seemed to lose their confidence in the market, many said.

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Monetary Policy Stance
Budget 2020-21
Walton