Stocks stretch gains amid higher turnover

Stocks extended their gaining momentum on Wednesday as bargain-hunters continued to chase sector-specific scrips looking for short-term gain opportunities.

DSEX, the broad-based index of the Dhaka Stock Exchange (DSE), inched up 0.14% to 6,256, compared to the previous trading session. Shariah index DSES and blue-chip DS30 also advanced by 0.29% and 0.22% to 1,357 and 2,141 respectively.

The bourse saw an increase in investor participation on Wednesday as the DSE daily turnover went up by 15.6% to Tk430.4 crore, compared to the previous trading session.

The market witnessed mild volatility till the middle of the session. Then during the last one and a half hour of trade, opportunistic investors pulled the market up causing the key index to close in the green terrain.

In its daily market commentary, EBL Securities wrote the prolonged downbeat vibe in the market has created lucrative investment opportunities for bargain hunters looking for potential quick gains.

"However, investor confidence still remains subdued since the market has yet to show any positive trigger to bounce back to persistent positive momentum amid a bleak macroeconomic environment and rising political tensions," the review added.

Out of all the scrips traded, 79 advanced, 64 declined, and 138 stayed the same on Wednesday at the DSE.

On the sectoral front, food contributed the highest 21.5% to the day's turnover, followed by general insurance adding 15.4%, and engineering adding 10.3%.

Most of the sectors displayed positive returns, with jute posting the highest price appreciation of 5.8%. On the other hand, general insurance saw the highest correction of 1.2%.

The port-city bourse Chittagong Stock Exchange also settled in green terrain. Selected indices CSCX and all share price index Caspi each moved 0.14% up on Wednesday.