Daily average turnover soars 80% last week
The Dhaka bourse seemed to have regained some momentum last week as investor participation as well as the indices surged from what they were the week before.
The average daily turnover jumped by 80% in a week and stood at Tk646 crore at the end of last week, from Tk358 crore in the previous one.
DSEX, the benchmark index of the Dhaka Stock Exchange (DSE), also increased by 0.75% in a week to reach 6,260 last Thursday.
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Market insiders said the country's premier bourse saw increased market participation after a month-long bear run as investors regained confidence in stocks after getting a clear indication that the price floor will not be withdrawn anytime soon.
According to the weekly market report of EBL Securities, the reimposition of the price floor for the 169 scrips has provided a safeguard against the risk of capital erosion, which encouraged investors to inject fresh funds into the market.
Moreover, the prolonged market correction has created lucrative investment opportunities, enticing bargain hunters to take positions in sector-specific issues.
During the last week, 135 scrips advanced, 23 declined and 225 remained unchanged at the DSE trading floor.
Investors were mostly active in the IT sector which made 19.4% of the turnover, followed by the life insurance sector with 11.8% and food sector with 9.3%.
Most of the sectors ended in green last week, with the travel sector posting the highest price appreciation of 13.2%. Financial institutions, on the other hand, was the most corrected sector losing 0.1% of its market capitalisation.
The week's best stock
The loss-making Legacy Footwear, a manufacturer of leather shoes, topped the list of gainers at the DSE last week.
In four trading sessions from 5 March to 9 March, its share price hiked by 22.30% to Tk49.90 each on Thursday.
After failing badly to hold the export market over the years, the company decided last year to enter the local market by extending its plant.
The company has been incurring losses since the January to March quarter of 2021. In the first six months of the ongoing 2022-23 fiscal year, its loss per share stood at Tk0.79. At the same period of the previous fiscal, its earnings per share was Tk0.11.
The other stocks that made the list of top ten gainers last week are ADN Telecom that gained 18.09%, Eastern Housing 16.54%, Sea Pearl Beach Resorts 16.32%, City General Insurance 15.64%, BDCOM Online 12.66%, Intech 12.56%, Central Insurance 11.94%, Dominage Steel Building Systems 10.49% and Bashundhara Paper Mills which gained 10.38%.
On the other hand, Union Capital was the most corrected stock last week as its price went down by 17%. Non-bank financial institutions and mutual funds mostly dominated the losers' table.
