Most stocks decline as market extends downward trend
The DSEX, the broad index of the Dhaka Stock Exchange (DSE), declined by 25 points, settling at 5,171
Dhaka stocks extended their losing streak for the second consecutive session on Monday due to significant share sell-offs.
The DSEX, the broad index of the Dhaka Stock Exchange (DSE), declined by 25 points, settling at 5,171.
The week began on a downward trend on Sunday, as low investor activity and cautious sentiment stemming from economic challenges and political uncertainty triggered a sell-off in blue-chip stocks.
Although Monday's session opened on a positive note with investor interest in buying, selling pressure gripped the market just 22 minutes into trading. After fluctuating throughout the session, the market closed in the red, according to DSE data.
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Other indices also experienced declines due to the sell-off. The Shariah index DSES fell by 6 points to 1,155, and the blue-chip index DS30 dropped by 13 points to 1,922.
Out of the traded stocks yesterday, prices of 99 stocks advanced, 216 declined, and 81 remained unchanged.
As most stocks witnessed price drops, the market capitalization fell by Tk1,676 crore, settling at Tk6.59 lakh crore.
Trading activity remained sluggish, with market turnover in the DSE decreasing further by 3.1% to Tk303 crore compared to Tk312 crore in the previous session. Cautious investors opted to stay on the sidelines due to the lack of major market triggers.
EBL Securities, in its daily market commentary, said, "The benchmark index of the DSE extended its losing streak for two consecutive sessions amid sluggish market participation, as investors remained wary of the market momentum and displayed wavering confidence across the trading floor."
The commentary further stated, "Indices remained downbeat for most of today's session as sellers-maintained dominance, driven by a bleak market outlook in the current volatile state."
On the sectoral front, pharmaceutical stocks contributed the highest turnover at 20.3%, followed by banks at 12.1% and the textile sector at 10.0%, according to EBL Securities.
Golden Harvest Agro Industries led the gainer chart with a 9.52% gain, reaching Tk 11.5 per share, followed by Monno Agro and General Machinery with an 8.73% increase to Tk 372.10 per share, and Simtex Industries with an 8.72% rise to Tk 18.7 per share.
Meanwhile, Bangladesh Welding Electrodes topped the loser list, with its share price falling by 8.41% to Tk 9.8 per share, followed by Union Capital, which declined by 7.93% to Tk5.8 per share, and Safko Spinning Mills, which dropped by 6.81% to Tk8.2 per share.
The Chittagong Stock Exchange also settled in the red. The CSCX and All Share Price Index fell by 9.3 and 13.4 points, respectively.
