DSEX hits two-month low

Highlights

• DSEX fell 35 points 
• It is the lowest within two-months
• Turnover declines 23% to Tk414cr
• 270 stocks price declined 

After a brief two-day upward momentum driven by some blue-chip stocks, the market nosedived again today as most stocks faced selling pressure.

DSEX, the benchmark index of the Dhaka Stock Exchange (DSE), declined by 35.55 points, hitting a two-month low since 9 February this year, and wiping out the 19-point gain from the previous two days.

Meanwhile, the DSE Shariah Index fell by 6.74 points, and the DS30, the blue-chip index, dropped by 19.93 points to settle at 1,166 and 1,911 points, respectively.

However, turnover at the DSE declined by 23% to Tk414 crore as investors participation remained subdued. 

Of the traded stocks, 79 scrips price advanced, 270 scrips price declined and 49 scrips price remained unchanged, according to the DSE. 

At the opening of the trading session, stocks started on a positive note with a slight increase in the DSEX. 

However, just four minutes into trading, selling pressure gripped the market, causing stocks to turn red. The downward trend continued for the rest of the session.

Stockbrokers attributed the market's decline to the cautious stance of large investors ahead of corporate earnings and dividend declarations by December-closing firms. 

They said some blue-chip stocks had led the market in previous sessions, but today, several of them underwent corrections amid profit booking by investors. 

Eastern Cables topped the gainers' list with a 9.94% rise in its share price to Tk131.6 each, followed by Wata Chemicals by 9.90% to Tk134.3, Heidelberg Cement by 8.73% to Tk297.5, Ambee Pharmaceuticals by 7.42% to Tk914.1, and Monno Agro by 6.90% to Tk342.

Meanwhile, Prime Bank topped the losers' list as its share price declined by 11.79% to Tk21.7. 

Typically, listed stocks may rise or fall by up to 10% in a single trading session, but Prime Bank's share price dropped more than that due to the adjustment for bonus shares after the record date, according to DSE sources.

The bank recommended a 17.5% cash dividend and a 2.5% stock dividend for 2024. Its annual general meeting (AGM) is scheduled for 5 May.

Among other losers, Al-Haj Textile's share price declined 9.94% to Tk128.6, Shinepukur Ceramics 8.14% to Tk23.7, Phoenix Finance 7.50% to Tk3.7, and S Alam Cold Rolled Steels 5.90% to Tk23.9.