Stock market starts the year on a positive note as DSEX rises

The new-year 2026 has begun with an upward trend in both the index and trading activity in the stock market.

On the first trading day of the year, trading on the Dhaka Stock Exchange (DSE) opened higher as cautious investors showed renewed participation on the trading floor.

On Sunday, the benchmark DSEX index gained 45 points to close at 4,911. The blue-chip DS30 index rose 16 points to settle at 1,869, while the Shariah-based DSES index advanced 5 points to end at 1,006.

Market turnover stood at Tk368 crore, compared to Tk395 crore in the previous session. Of the 391 issues traded, 263 advanced, 66 declined, and 62 remained unchanged.

Last year was a bearish period for stock market investors, with the market remaining on a downward trend for most of the year. The DSEX index stood at 5,218 points on the first trading day of January but fell to 4,862 points by year-end – a decline of 356 points or more than 7%. Average daily turnover also dropped to around Tk300 crore, reflecting weak investor participation and widespread pessimism.

Market participants attribute the downturn mainly to political uncertainty and delays in decision-making by the market regulator, the Bangladesh Securities and Exchange Commission (BSEC). As a result, many investors exited the market, while a large segment of institutional and high-net-worth investors became inactive, pushing even fundamentally strong stocks to depressed levels.

According to market analysts, political uncertainty remains the most critical factor influencing market sentiment. As this uncertainty gradually eases, the market is expected to move in a more positive direction. Due to lingering uncertainty, institutional and large individual investors have largely stayed away, keeping trading volume below its potential.

However, the positive start to the new-year – marked by gains in key indices – has offered a glimmer of hope. Analysts believe that with greater policy stability and a return of investor confidence, the market has the potential to recover in the coming period.

Most large-cap sectors posted gains during the session. The NBFI sector led with a 2.07% rise, followed by the Bank sector at 2.05%. Fuel & Power increased by 0.55%, Pharmaceuticals by 0.48%, Food & Allied by 0.46%, and Engineering by 0.44%. In contrast, the Telecommunication sector declined by 0.14%. Block trades accounted for 5.4% of the total market turnover. 

The Chittagong Stock Exchange (CSE) also closed higher, with the CSCX index rising 47 points to 8,441, and the CASPI index increasing 82 points to close at 13,692, reflecting positive sentiment across both major bourses.