Dhaka, Bangladesh (BBN)– Bangladesh’s stocks witnessed yet another bearish week that ended on Thursday, extending the losing streak for the four weeks in a row, as investors continued their selling spree.
Analysts said the market extended losses as retail investors reluctant to make fresh investment while the institutional investors could not support the market more due to ongoing liquidity crisis.
The week witnessed five trading sessions as usual. Of them, first three sessions of the week ended lower while last two recovered half of the losses.
DSEX, the benchmark index of the Dhaka Stock Exchange (DSE), went down by 107 points or 1.84 percent to settle at 5,720.
Two other indices of the premier bourse also ended lower. The DS30 index, comprising blue chips, fell 27.72 points to finish at 2,116 and DSES (Shariah) index slumped 24.25 points to settle at 1,349.
The port city bourse Chittagong Stock Exchange (CSE) also finished lower with the CSE All Share Price Index – CASPI – shedding 345 points to settle at 17,655 and Selective Categories Index – CSCX –falling 206 points to end at 10,661.
The daily turnover averaged BDT 2.76 billion, which was nearly 26 percent lower than the previous week’s average of BDT 3.72 billion.
“Investors’ confidence remains low with very little buying appetite amid the ongoing liquidity crisis which does not seem to be ended soon,” commented City Bank Capital Resources, in its weekly market analysis.
International Leasing Securities, said, the market witnessed price correction for the four weeks amid liquidity crisis and concerned trading behavior of the investors.
The stockbroker noted that ongoing liquidity crisis in the country’s financial sector and complexity over the Dhaka bourse’s share sales to strategic partner fueled up the risk-averse investors’ selling spree.
The losers took a strong lead over the gainers as out of 340 issues traded, 270 closed lower, 54 lower and 16 remained unchanged on the DSE floor.
Monno Ceramic Industries dominated the turnover chart for the two consecutive weeks with 4.68 million shares worth nearly BDT 650 million changing hands, followed by newly listed Queen South Textile, IFAD Autos, Brac Bank and Mercantile Bank.
CAPM IBBL Islamic Mutual Fund was the week’s best performer, posting a gain of 24.51 percent while Shympur Sugar Mills was the week’s worst loser, losing 14 percent.