Stocks rebound after 5-day losing streak

Stocks snapped on Wednesday, breaking a five-day losing streak, when the  Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE) indexes plunged as investors went for buying large-cap stocks.

The market opened higher and the upbeat trend sustained till the end of the session after hitting the two-month lowest level of the key index of the DSE in the previous day.

DSEX, the prime index of the DSE, went up by 67.92 points or 1.27 per cent to settle at 5,385, after losing roughly 226 points in the past five consecutive sessions.

Two other indices also ended higher. The DSE 30 Index comprising blue chips rose 38.83 points to finish at 2,056 and the DSE Shariah Index (DSES) gained 13.98 points to close at 1,220. Turnover, a crucial indicator of the market, stood at Tk 5.30 billion on the country’s premier bourse, falling by 10.32 per cent over the previous day’s mark of Tk 5.91 billion.

Market operators said bargain hunters showed their buying appetite on sector specific issues which saw price erosion in the past few trading sessions. The top positive index contributors were Walton, Robi, Beximco, Beximco Pharma, Beacon Pharma, Grameenphone and Square Pharma, jointly added about 47 points to the DSEX, according to data from amarstock.com, a stock market data analyst.

Business conglomerate Beximco Group companies rebounded in gaining streak with Beximco stock gained 5.90 per cent, heavyweight drug maker Beximco Pharma 4.34 per cent and Shinepukur Ceramic 6.91 per cent.

Debutant eGeneration shares were frozen at 50 per cent—the upper limit circuit breaker for the second trading day on Wednesday. Its share closed at Tk 22.50, the highest allowable limit on the second session of debut, from its issue price of Tk 10 each, the DSE data shows.

Some 13 trades were executed at the DSE with a total of 9,332 shares were changed hands at the halted price as its IPO shares winners were unwilling to sell their stakes hoping for higher profit in future.

Robi shares continued to rise as its stock soared 9.94 per cent further to close at Tk 42 each.Of the 343 issues traded, 190 advanced, 35 declined and 118 remained unchanged on the DSE trading floor.

Beximco continued to dominate the turnover chart with shares worth over Tk 1.24 billion changing hands followed by Robi, BATBC, Beximco Pharma and LankaBangla Finance. Newly listed eGeneration was the day’s best performer, posting a gain of 50 per cent while NCC Bank Mutual Find-1 was the worst loser for the second straight session, losing 4.93 per cent.

A total number of 105,003 trades were executed in the day’s trading session with a trading volume of 127.17 million shares and mutual fund units.The market-cap of DSE also fell to Tk 4,640 billion on Wednesday, up from Tk 4,570 billion in the previous day.

The Chittagong Stock Exchange (CSE) also rebounded with the CSE All Share Price Index – CASPI –soaring 207 points to settle at 15,590 and the Selective Categories Index – CSCX rising 124 points to close at 9,403. Of the issues traded, 112 gained, 48 declined and 56 remained unchanged on the CSE. The port city’s bourse traded 8.63 million shares and mutual fund units with turnover value of Tk 289 million.