Dhaka, Bangladesh (BBN) – Bangladesh’s stocks closed lower on Sunday, the first trading session after budget announcement for the fiscal year 2016-17, as investors reacted negatively on the proposed budget.
Finance Minister AMA Muhith unveiled the national budget for the fiscal year (FY) 2016-17 at the Jatiya Sangsad (JS) on Thursday.
The Finance Minister proposed to waive small investors from the income tax charged on margin loans and interest up to BDT 1.0 million for the FY 2016-17, keeping the existing provisions unchanged.
The market started with a downward note which continued till end of the session. At the end of the session, DSEX, the prime index of the Dhaka Stock Exchange (DSE), finished at 4,425.89, shedding 20.19 points or 0.45 percent.
The two other indices also ended lower. The DS30 index, comprising blue chips, fell 13.86 points or 0.78 percent to finish at 1,747.33. The DSE Shariah Index (DSES) lost 8.45 points or 0.77 percent to end at 1,088.53.
DSE turnover also hit 12-session low to BDT 3.08 billion, which was 38 percent lower than the previous session’s BDT 4.94 billion.
Losers took a strong lead over the gainers, as out of 314 issues traded, 190 closed lower, 71 closed higher and 53 remained unchanged on the DSE trading floor.
Bangladesh Steel Re-rolling Mills dominated the turnover chart with 1.49 million shares worth nearly BDT 209 million changing hands, followed by Lafarge Surma Cement, Titas Gas Transmission and Distribution Company, Shahjibazar Power and Doreen Power.
United Insurance was the day’s best performer, posting a gain of 7.88 percent, while Asia Pacific Insurance was the worst loser, plunging by 8.55 percent.
The port city bourse Chittagong Stock Exchange (CSE) also closed lower with its Selective Categories Index- CSCX – falling 47.77 points to close at 8,281.94 points.
Losers beat gainers 141 to 54, with 29 issues remaining unchanged on the port city bourse that traded 8.89 million shares and mutual fund units with a value of over BDT 216 million.