DSEX hits 2-month high on strong large-cap stock performance
DSEX surged by 23 points, or 0.46%, to reach 5,224
The Dhaka Stock Exchange's (DSE) benchmark index, DSEX, soared to a two-month high yesterday, driven primarily by robust gains in large-cap stocks.
Key sectors such as banking, telecommunications, and energy led the rally, with heavyweight companies posting significant price increases, according to market insiders.
On Sunday, the DSEX surged by 23 points, or 0.46%, to reach 5,224, marking its highest level in two months. Meanwhile, the blue-chip DS30 gained 11 points, or 0.58%, to close at 1,921.
During the trading session, the DSE experienced mixed movements, with 217 stocks advancing, 124 declining, and 57 remaining unchanged. The overall market turnover saw a modest rise of 5%, reaching Tk487 crore compared to Tk465 crore in the previous session.
Keep updated, follow The Business Standard's Google news channel
According to the EBL Securities daily market review, BAT Bangladesh, BRAC Bank, Beximco Pharma, and United Commercial Bank were key contributors to the rise in the benchmark index of the Dhaka bourse.
However, the index's upward momentum was tempered by declines in the shares of City Bank, Walton, Renata, and Uttara Bank, which limited its overall growth.
EBL Securities said the capital bourse of the country continued its recovery mode, starting the week on a positive note. This was driven by investors' active participation in certain large-cap stocks, fueled by anticipation surrounding their corporate declarations. Besides, opportunistic investors have been chasing trending stocks, expecting invigorating market activity ahead of the Ramadan.
Buyers maintained their dominance throughout the session, with optimistic investors continuing to chase the current rallies in sector-specific stocks. The price appreciation in particular blue-chip stocks further strengthened the market's upward momentum, EBL Securities added.
On the sectoral front, the textile sector led the way, contributing 14.6% to the DSE's total turnover, followed by the pharmaceutical sector at 11.9% and the engineering sector at 11.7%.
In terms of individual performance, Grameenphone emerged as the top performer on the turnover chart, with shares worth Tk23 crore traded during the day. It was followed by Orion Infusion, with trades worth Tk22 crore, and Fu Wang Food, which saw trades amounting to Tk13.51 crore.
The majority of sectors posted positive returns, with the mutual fund sector leading the way at a 2.8% gain, followed by the ceramic sector at 2.5% and the life insurance sector at 2.3%. However, investors faced losses in the jute sector, which declined by 1.2%, as well as in the tannery and paper sectors, both of which fell by 0.5%.
S Alam Cold Rolled Steels continued its impressive rally for the fifth consecutive session, topping the gainers' chart. Its share price surged by 9.74% to reach Tk16.9. Over the past five sessions, the stock has skyrocketed by 72%. In response to a DSE query regarding the unusual price movement, the company stated that there was no undisclosed price-sensitive information to justify the sharp increase.
Other notable gainers included Exim Bank First Mutual Fund, Sandhani Life Insurance, and Shinepukur Ceramics.
On the flip side, the Z category stocks dominated the list of top losers. Atlas Bangladesh emerged as the worst performer of the day, followed by Ring Shine Textiles, Reliance One Mutual Fund, New Line Clothings, and Khulna Printing and Packaging.
