Stocks dip as investors book quick profits

The benchmark index DSEX of the Dhaka Stock Exchange (DSE) fell today, snapping a three-day winning streak, as investors locked in quick gains.

The DSEX dropped 43 points or 0.91% to close at 4,739, while the blue-chip index, DS30, declined by 17 points or 0.96% to settle at 1,770.

In the past three days, the DSEX had risen by 119 points and the market cap increased by around Tk3,000 crore.

Out of the traded issues, 67 advanced, 276 declined, and 54 remained unchanged.

Market activity remained subdued, with turnover at the DSE standing at Tk313 crore – reflecting weak investor participation despite the recent rally.

EBL Securities, in its daily market review, said the benchmark index of the Dhaka bourse failed to sustain its recovery mode as the previous day's optimism was overshadowed by investors' caution over the market's momentum since escalating geopolitical tensions surrounding the Iran-Israel conflict with yet no signs of ceasefire have prompted investors to remain watchful of the market's trend. 

Although market indices remained flat till the mid-session, as investor participation remained prevalent on both sides of the trading fence, the market eventually succumbed to profit-booking pressure as investor confidence waned again after a brief recovery, it added.

On the sectoral front, food issues exerted the highest turnover, followed by pharma and bank sectors. 

Lovello Ice Cream topped the turnover chart, followed by Zaheen Spinning, Monno Agro, Miracle Industries and BRAC Bank.

Sectors mostly displayed dismal returns, out of which travel, non-bank financial institutions and paper exerted the most corrections on the bourse, while miscellaneous exhibited some gains. 

Central Insurance led the gainers, while Premier Leasing was the day's worst performer.

The port city bourse, CSE, however, settled on a positive zone. The selective categories' index (CSCX) and all share price index (CASPI) edged up by 4.2 points and 0.1 points, respectively.