DSEX dips on fuel price adjustment, geopolitical jitters

The country's capital market began the week on a sluggish note today (19 April), as investors remained cautious following the recent adjustment in domestic fuel prices and ongoing uncertainty regarding the Middle East conflict. 

The benchmark DSEX index of the Dhaka Stock Exchange (DSE) edged down by approximately 9 points to settle at 5,247. 

Market participants remained cautious, refraining from taking fresh positions and instead adopting a wait-and-see stance amid lingering geopolitical and macroeconomic uncertainties that continued to weigh on market momentum.

Despite a relatively steady performance during the mid-session, the early optimism failed to hold as mounting selling pressure in major large-cap scrips eventually eroded the initial gains. 

EBL Securities, in its daily market review, noted that the recent hike in domestic fuel prices further reinstated investor caution. 

While the benchmark index fell, the blue-chip DS30 index saw a marginal uptick, closing at 1,990. However, the overall market breadth remained bearish, with 223 issues declining against 125 advancing, while 56 remained unchanged.

Trading activity on the premier bourse saw a slight upward trend compared to previous sessions, with total turnover rising to Tk819 crore. 

On the sectoral front, the engineering sector dominated market participation, accounting for 18.9% of the total turnover, followed by the textile and general insurance sectors. 

However, the majority of sectors recorded negative returns. The paper and printing sector faced the steepest correction, dropping by 1.7%, while the travel and leisure and jute sectors declined by 1.5% and 1.1%, respectively. 

In contrast, the general insurance sector emerged as a rare bright spot, posting a 2.2% gain, while the textile and tannery sectors also managed to end the day with marginal positive returns.

Several high-cap stocks acted as significant index draggers during the session, including Islami Bank, Walton Hi-Tech Industries, National Bank, ACI, and Beacon Pharmaceuticals. 

On the other hand, turnover leaders included City Bank, Paramount Textile, Khan Brothers PP Woven Bag, Runner Auto, and Acme Pesticides. 

Among individual stocks, Runner Auto and Janata Insurance emerged as the top gainers, both surging by 9.94%, while Sonar Bangla Insurance and Prime Textile also posted significant gains. 

Conversely, Popular Life First Mutual Fund and Meghna Cement were among the top losers of the session, facing notable price corrections.

The bearish sentiment was mirrored at the Chittagong Stock Exchange (CSE), where the key indices both closed in negative territory.

The CSCX ended 5 points lower at 9,035, while the CASPI shed 9 points to settle at 14,751. Turnover at the port city bourse, however, saw an increase, reaching Tk41 crore