Regulator's interference helps index back to 6,000 marks
When the key index of the Dhaka Stock Exchange (DSE) slipped down to below the psychological threshold of 6,000 marks in the early session on Monday, the securities regulator asked the institutional investors to pour money to recover it.
"After one hour of the trading session, the institutional investors, who were in a defensive mood, began to invest in order to recover the index as per the securities regulator's direction," said a top official of a brokerage firm.
In the first hour of trading on Monday, the major index DSEX on the premier bourse went down 1.06% or 64 points to close at 5,987 – a figure lowest since 7 June 2021.
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At the end of the session, the index surged 30 points to close at 6,082, creating an upward trend after nine days of sharp fall.
During the session, the share price of 196 companies advanced, while 131 declined.
A senior officer of the Bangladesh Securities and Exchange Commission (BSEC) said, on condition of anonymity, some brokerage firms were discouraging investors to invest further in the capital market in the absence of economic stability.
"The institutional investors are also inactive in pouring their idle money to the market. But the commission thinks that there was no reason for the recent downward trend of stock markets as the country's economy has not fallen hard," the officer said.
He added that the commission is always trying to activate all eligible investors to keep up the vibrant capital market.
