Stock indices plunge for third straight day
Stock indices plunged for the third straight day due to excessive selling pressures amid higher-earning disclosures by listed companies for fiscal 2020-21.
DSEX, the benchmark index of the Dhaka Stock Exchange (DSE), lost 119.5 points in the last three sessions.
Due to the selling pressures, the equity indices ended in a red trajectory on Wednesday.
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DSEX tumbled by 65.5 points or 0.89% to 7248 and the blue-chip index DS30 fell by 1.17% to 2717 points and the Shariah index DSES by 1.53% to 1566 points.
The total turnover of DSE increased by 4.79% to Tk1,953.99 crore, from Tk1,863.80 crore on Tuesday.
The port city bourse, Chittagong Stock Exchange (CSE) also plummeted in red terrain, and the All Share Price Index (CASPI) dropped 177 points or 0.82% to 21,183.
EBL Securities said, in its daily commentary, despite higher-earning disclosures the stocks are experiencing corrections as investors trimmed their position in recent outperformers and favoured selling shares that have reached their peak.
On the sectoral front, the pharma sector contributed the highest 12.43% to DSE's total turnover, followed by the tannery sector 10.81%, and banking 10.16%.
Most of the sectors observed waning performance, out of which cement (-4.4%), travel (-3.9%), and financial institute (-2.2%) experienced the most corrections.
The general insurance (3.4%), life insurance (1.6%), and IT (1.1%) exerted the most positive returns on the bourse on Wednesday.
Out of the 376 issues traded, 106 advanced, 241 declined, and 29 remained unchanged.
NRBC Bank topped the gainer list among ten with a 9.96% increase followed by Eastern Insurance Company – a 9.98%, and Janata Insurance Company – an 8.13%.
On the other hand, Far East Knitting and Dyeing Industries Limited was the worst share, which lost 7.39%, followed by Zeal Bangla Sugar Mills Ltd – 3.74% and Sonali Paper and Board Mills Ltd – 0.53%.
