Weekly roundup: Stocks reversed upward trend last week
The stock market which saw some strength at the beginning of March failed to sustain the momentum last week as investors were still shaky to hold shares and preferred reducing exposure.
DSEX, the broad-based index of the Dhaka Stock Exchange (DSE), closed the week 0.64% lower at 6,220 as only 15 scrips advanced and 141 declined.
The market had some recovery since the end of February as an initial response to the news that the floor prices were not to be withdrawn sooner when the regulator also removed the narrow 1% lower daily limit in price movement from 169 scrips helped the market breathe.
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Analysts however found no fresh trigger that should pull the market higher and many investors opted for profit booking to hold some cash instead of volatile shares that also might get stuck on the floor prices.
The index, which gained nearly 100 points in the previous eight sessions to hit above 6,270, nosedived on Sunday to trigger the bearish week and with some small pauses it ended at 6,220.
Investors' preference for selective stocks helped the blue-chip index DS30 and Shariah Index DSES outperform their broader peer index DSEX as their fall did not surpass 0.4% last week.
Amid the shaky confidence, investors' participation again dropped as the daily turnover in the DSE declined by 21% to TK508 crore during the corresponding period.
However, since the market has been volatile and hovering in a narrow range, bargain hunters are still active there to bag some oversold shares for some quick gains.
