DSEX hits three-week high, turnover rises
The positive movement reflects increased investor interest in undervalued stocks
The benchmark index DSEX of the Dhaka Stock Exchange (DSE) continued its recovery trend for the third consecutive session today, reaching a three-week high.
The positive movement reflects increased investor interest in undervalued stocks.
However, many investors remain cautious and hesitant to engage fully in the market due to ongoing uncertainties. As a result, while optimism exists, a significant portion of the investor community is still holding back from active participation.
The DSEX index gained 7 points to close at 5,203, while the DSE Shariah Index rose by 2 points to 1,173, and the DS30 index also added 2 points to settle at 1,925.
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Turnover at the DSE increased by 16.9%, reaching Tk499 crore from Tk427 crore compared to the previous session.
Among the 401 stocks traded, 165 gained, 156 declined, and 80 remained unchanged.
Market insiders noted that while the upward trend reflects growing investor confidence, broader market participation remains limited due to ongoing uncertainties.
Factors such as high deposit rates, a liquidity crunch, limited activity from institutional investors, the absence of foreign investors, and the overall economic challenges, compounded by ongoing political instability, continue to weigh on the market's overall performance.
The indices started the trading session positively and maintained an upward trend till the closing of the session.
Key stocks contributing to the upward index included Grameenphone, Best Holdings, Investment Corporation of Bangladesh, Beximco Pharmaceuticals, BRAC Bank, IFAD Autos, Orion Pharma, Titas Gas Transmission, RAK Ceramics (Bangladesh), and Reckitt Benckiser BD.
Best Holdings placed in the top gainer list followed by IFAD Autos, Coppertech Industries, Sonargaon Textiles, Baraka Patenga Power Ltd.
Associated Oxygen placed first on the list of top loser companies, followed by Bangladesh Industrial Fin Co, Asiatic Laboratories, Fine Foods, and Aftab Automobiles Limited.
EBL Securities, in its daily market commentary, noted that the benchmark index of the capital bourse remained afloat in positive territory as bargain hunters continued to show their buying interest in certain scrips ahead of the earnings declarations for the recently ended quarter in anticipation of short-term gains.
The market witnessed a tussle between buyers and sellers to grab the reign of the market momentum. Though the market opened on a positive note with buyers possessing the helm of the market momentum, sellers emerged to demonstrate their dominance as they preferred to engage in a profit-taking sell frenzy.
Finally, late-session buying pressure rescued the market on the day by settling the benchmark index in green territory, making a streak of three consecutive positive sessions, according to the commentary.
The pharma sector had the highest turnover, contributing 19.7%, followed by textile at 13.0% and engineering at 10.8%.
Most sectors showed positive returns, with the travel sector gaining 4.9%, ceramic 2.2%, and services 2.0%.
The Chittagong Stock Exchange (CSE) also ended the day positively, with the Selective Categories Index (CSCX) gaining 38.5 points and the All Share Price Index (CASPI) adding 61.6 points.
