DSEX extends winning streak to fourth day as investor optimism lifts market
Market breadth remained overwhelmingly positive, with 310 issues advancing against only 36 declining and 30 remaining unchanged
The Dhaka bourse rallied for a fourth straight session today (19 November), with 82% of listed stocks closing higher as the key benchmark index continued its recovery.
Investor sentiment strengthened significantly across the board buoyed by growing optimism over potential relief in the ongoing legal proceedings surrounding the newly enacted margin rules, according to market insiders.
The DSEX, the broad-based index of the Dhaka Stock Exchange (DSE), jumped 54 points to finish at 4,901 – marking a four-day gain of 199 points and signalling a notable shift from the month-long slump that had weighed heavily on the market.
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Blue-chip index DS30 edged up 3 points to settle at 1,893.
Market breadth remained overwhelmingly positive, with 310 issues advancing against only 36 declining and 30 remaining unchanged. However, turnover dipped by 12% to Tk420 crore, reflecting investors' cautious stance despite the upbeat trend.
A managing director of a leading brokerage firm told The Business Standard that the market opened with a continuation of the previous day's recovery momentum. "Broad-based speculation over a favourable outcome in the High Court's proceedings on the new margin rules has boosted investor confidence," he said.
"Many investors are anticipating that the legal complexities will ease, providing short-term support to the market," he added.
The High Court had earlier issued and quickly recalled an injunction on forced selling from leveraged accounts.
The writ petition, filed on 9 November by investors SM Iqbal Hossain, Md Saidur Rahman, SM Fakrul Islam, and Mohammad Selim, is yet to receive a hearing date, according to their lawyer.
On 11 November, the bench of Justice Fahmida Quader and Justice Md Ashif Hasan rejected a plea for a stay order but issued a rule asking the government and the Bangladesh Securities and Exchange Commission (BSEC) to explain within seven days why certain sections of the Margin Rules, 2025, should not be declared unconstitutional.
Meanwhile, during today's session, Shahjibazar Power, Aftab Auto, BRAC Bank, Lovello Ice-cream, and Khan Brothers PP Woven Bag topped the turnover chart, reflecting strong investor activity in both power and consumer sectors.
Non-bank financial institutions dominated the list of top gainers, with Peoples Leasing surging 10.66%, followed by Phoenix Finance, Rahima Food, FAS Finance, and Fareast Finance – each rising by 10%.
On the other hand, Information Services Network led the day's losers with a 4.82% decline.
Simtex Industries, Bata Shoe, MBL First Mutual Fund, and Acme Laboratories also experienced moderate drops, limiting the day's overall upward momentum.
Meanwhile, the Chattogram Stock Exchange (CSE) also mirrored the positive sentiment. The CSCX index climbed 60 points to close at 8,432, while the CASPI surged 114 points to reach 13,641. Turnover at the port-city bourse stood at Tk9.42 crore.
