DSEX closes day 57 points lower

• DS30 ends 20 points lower at 1,943
• DSES drops by 18 points to 1,154
• DSMEX falls by 20 points to 1,019
• Turnover decreases 6.6% to Tk515 crore
• 76 issues up, 267 down, 45 unchanged

Dhaka stocks continued their downward trend today (19 November) for the third consecutive session, driven by investor sell-offs. This decline has been attributed to concerns over a challenging economic environment, political uncertainty, and a drop in the prices of several blue-chip stocks.

Market insiders highlighted that the rising non-performing loans (NPLs), according to data released recently by Bangladesh Bank, have negatively impacted the capital market.

In the last three consecutive sessions, the premier index decreased by 112 points. Today, the benchmark DSEX index decreased by 57 points, closing at 5,243 points.

The DSE Shariah Index (DSES) was down by 18 points to 1,154, and the DS30 index, comprising blue-chips stocks, decreased by 20 points to 1,943.

Turnover at the DSE decreased by 6.6%, reaching Tk515 crore from the previous session's Tk551 crore.

Of the 388 stocks traded, 76 gained, 267 declined, and 45 remained unchanged on the DSE trading floor.

The indices initially opened on an upward trend and maintained the momentum for 45 minutes. However, they gradually began to decline, continuing to fall until the end of the trading session.

Key stocks contributing to the decline included Islami Bank Bangladesh, Beacon Pharmaceuticals, BRAC Bank, Renata, Beximco Pharmaceuticals, Robi Axiata, LafargeHolcim Bangladesh, Marico Bangladesh, Square Pharmaceuticals, and Reckitt Benckiser (Bd).

In its daily market commentary, EBL Securities noted that the downbeat vibe in the country's capital market continues as bears firmed their control for three consecutive sessions since investors are cautious of the market's trend due to uncertainties over the ongoing economic and political tensions.

The bourses remained sell-dominant throughout the session as investment appetite remains subdued amid the market's waning momentum, while the recently downgraded sovereign ratings of the country on Moody's scale have further triggered the prevailing investor pessimism.

However, according to the brokerage house commentary, cautious investors are monitoring the market's momentum to identify sector-specific stocks with potential for recovery following the earnings declaration season.

On the sectoral front, the Banking sector led turnover with 13.5%, followed by General Insurance at 13.2% and Pharmaceuticals at 12.4%.

Most sectors posted negative returns, with the Jute sector seeing the sharpest decline of 10.2%, followed by Paper at 2.8% and Life Insurance at 2.4%.

However, a few sectors, such as Financial Institutions 1.6%, Services 1.0%, and Food 0.4%, recorded modest gains.

Meanwhile, the Chittagong Stock Exchange (CSE) also ended in the red today. The CSCX index fell by 71.6 points, and the CASPI index dropped by 125.9 points.