Shaky confidence erodes indices last week

Indices on both stock exchanges plunged in the outgoing week owing to shaky confidence stemming from rising macroeconomic and political uncertainties.

Market insiders said investors might be spooked following the US State Department's announcement of visa restrictions on Bangladeshis related to the upcoming national elections.

DSEX, the benchmark index of the Dhaka Stock Exchange (DSE), eroded by 25 points to 6,284.

The Chittagong Stock Exchange (CSE) also ended lower, with the CSE All Share Price Index (CASPI) losing 84 points to settle at 18,580, while the Selective Categories Index (CSCX) fell 50 points to 11,108.

In its weekly market commentary, EBL Securities said investors remained active on both sides of the trading fence as bargain hunters took positions on sector-specific lucrative issues following the recent corrections and led the market to stay afloat in green territory in the last three sessions of the week.

The daily average turnover of the DSE, the crucial indicator of the market, dropped over 43% to Tk453 crore last week.

Although last week featured four trading days, the market remained closed on Thursday due to a public holiday.

The investors were mostly active in general insurance, capturing 34% of the week's total turnover.

The majority of the traded issues remained stuck at floor price as 403 issues traded, 205 remained unchanged, 114 declined, and 47 advanced on the DSE trading floor.

Union Insurance kept its dominance in the weekly turnover charts, with shares worth Tk79 crore changing hands.

Small-cap Ambee Pharma was the week's top gainer, rising 14%, while Crystal Insurance was the worst loser, shedding 15% after its unusual price hike in recent weeks.