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Stocks extend losing streak

  • Staff Correspondent
  • 27 August, 2021 12:00 AM
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Stocks extend losing streak

Popular News

Stocks extended the losing streak for the second straight sessions on Thursday as investors opted for booking profit following the central bank’s money market inspection news.

After witnessing high volatility, DSEX, the key index of the Dhaka Stock Exchange (DSE), went down by 27.43 points or 0.39 percent to settle at 6,851.

The central bank has started investigation into entire money-market transactions along with exposures on the capital market to gauge liquidity movements in the banking system, which prompted investors to book profit, market insiders said.

At least six teams of the Bangladesh Bank are now probing different transactions of treasury and investment departments of the banks and non-banking financial institutions (NBFIs), officials said.

Two other indices also edged lower with the DS30 index, a group of 30 prominent companies, shed 6.25 points to settle at 2,453 and the DSE Shariah Index (DSES) fell 6.01 points to close at 1,487.

Turnover, a crucial indicator of the market, also dropped to Tk 22.27 billion on the country’s premier bourse, which was 13 per cent lower than the previous day’s tally of Tk 25.70 billion.

The market was on the rise in the past few days and many stock prices were up by at least 10 per cent to 15 per cent, so investors are taking in their profits now, said a merchant banker.

The investors followed a cautious approach as the central bank started to probe into capital market exposure of banks while some investors favored booking profit, he said.

However, he said, optimistic investors continued to put funds on selective stocks amid lower returns on the money market.

Losers took a strong lead over the gainers, as out of 376 issues traded, 251 declined, 105 advanced and 20 remained unchanged on the DSE trading floor.

Newly listed SBAC Bank topped the turnover list with shares worth Tk 729 million changing hands, closely followed by LankaBangla Finance (Tk 702 million), Beximco Pharma (Tk 594 million), Beximco (Tk 561 million) and IPDC Finance (Tk 525 million).

The state-run Investment Corporation of Bangladesh was the best performer, posting a gain of 9.97 per cent while First Finance was the worst loser, losing 7.36 per cent.

The Chittagong Stock Exchange also ended lower with its All Shares Price Index (CASPI)—losing 123 points to finish at 19,933 while the Selective Categories Index – CSCX shedding 73 points to close at 11,951.

Of the issues traded, 222 declined, 80 advanced and 23 issues remained unchanged on the CSE.

The port city bourse traded 36.88 million shares and mutual fund units with turnover value of Tk 851 million.