Stocks rally on finance ministry’s meeting call
DSEX rose 1.30% to reach 6,936
Indices of both stock exchanges jumped as investors rushed to buy scrips following the news that the finance ministry called a meeting with the heads of the central bank, securities regulator, and revenue board over the capital market situation.
On Thursday, the broad-index DSEX of the Dhaka Stock Exchange (DSE) rose 89 points or 1.30% to reach 6,936, while the blue-chip index DS30 climbed 1.77% to 2,635 points.
The port city bourse Chittagong Stock Exchange's (CSE) main index CASPI also jumped 256 points to close at 20,254.
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But in the early session on Thursday, stocks dropped as the contradictory statements from the Bangladesh Bank and the Bangladesh Securities and Exchange Commission (BSEC) had only worsened investor confidence on the bourse due to the ongoing policy tussle.
The meeting – aimed to come up with constructive solutions for both the money and capital market – is scheduled to be held at the ministry's office in Dhaka around 11am on 7 December.
The early session on Thursday witnessed a volatile market as the central bank denied statements made by a BSEC representative to the media regarding the outcome of a recent meeting between the two regulatory bodies.
The denial came after BSEC Commissioner Dr Shaikh Shamsuddin Ahmed told reporters on 30 November that the central bank had agreed upon the stock market regulator's proposals regarding banks' capital market exposure calculation in compliance with corporate governance code and banks' dividend pay-out at the meeting held earlier on the day.
Meanwhile, turnover, a crucial indicator of the market, advanced by 12.93% and was recorded at Tk1,245 crore against Tk1,102 crore in the previous session at the DSE.
On the sectoral front, banking scrips exerted the most turnover followed by miscellaneous, and pharmaceutical stocks.
Most of the sectors exerted positive return, out of which non-bank financial institutions, paper, and fuel and power observed the most return while tannery, life insurance, and IT observed the most correction on the premier bourse on Thursday.
Following the rising trend, 208 issues advanced, 118 declined, and 48 remained unchanged on the DSE trading floor.
Beximco Limited was the most traded share with a turnover of Tk157 crore at the DSE, which was followed by One Bank, and First Security Islami Bank.
Sena Kalyan Insurance topped the gainer chart, where its price increased 9.9% at the DSE.
On the other hand, Zeal Bangla Sugar was the worst share among all listed companies.
