DSEX dodges selloffs for two straight weeks

Illustration: TBS

Amid a shaky confidence of investors ahead of the earnings disclosure season, the stock market has been under selling pressure for several weeks.

However, bargain hunters managed to keep the market buoyant at the end of last week. Having recovered during later that week, DSEX, the broad-based index of the Dhaka Stock Exchange (DSE), stayed afloat for two consecutive weeks.

The market experienced corrections in the first three trading sessions of last week as investors booked their short term profits amid the market volatility and remained watchful, wrote EBL Securities in its weekly market commentary.

However, the correction made some selective issues lucrative to bargain hunters again, and the market witnessed recovery of earlier losses, it added.

Following the previous week's 0.12% gains, the benchmark index inched up by 0.02% to close at 6,215 last week, while blue-chip index DS30 gained by 0.14%.

The cautious stance across the market resulted in a decline in investors' trading participation last week as the average daily turnover in the DSE decreased by 22.7% to Tk447 crore.

281 scrips were stuck on the floor prices while only 119 were in regular trading above the floor prices during the closing bell on Thursday.

Investors were mostly active in the IT sector as 18.9% of the DSE turnover came from this sector, followed by food and allied, and tannery.

Tannery sector led the gainers with 1.3% increase in market capitalisation, while the jute sector led the losers with 4.9% correction.