Weekly review: Bangladesh’s stocks extend winning spell

Last updated: December 4, 2015

Dhaka, Bangladesh (BBN)- Bangladesh’s stocks closed higher for the second straight week that ended on Thursday as the investors were optimistic following the Bangladesh’s securities regulator’s measures.
The Bangladesh Securities & Exchange Commission (BSEC) on Monday last took a number of decisions, including imposition of two year lock-in period on sponsor-directors’ bonus shares of newly listed companies and extension of deadline for transactions in the accounts having negative equities till December 2016.
The prime index of the Dhaka Stock Exchange (DSE) crossed the 4,600-mark and settles the week at 4,641.04, gaining 67.29 points or 1.47 percent.
The DS30 index, comprising blue chips, rose 42.59 points or 2.46 percent to finish at 1,772.23. The DSE Shariah Index advanced 23.08 points or 2.10 percent to finish the week at 1,124.23.
The port city bourse Chittagong Stock Exchange (CSE) also closed higher with its Selective Categories Index - CSCX – advancing 144.49 points or 1.69 percent to end at 8,651.72.
“Mixed macroeconomic and capital market news exposure prompted investors to demonstrate mixed investment plan,” said IDLC Investments, a merchant bank.
“Especially, the securities regulator’s imposition of two year lock-in period on sponsor-directors’ bonus shares of newly listed companies, boosted up investors’ confidence pushing DSEX beyond 4,600-mark during the week,” said the merchant bank.
The total turnover on the DSE amounted to BDT 25.08 billion which was BDT 21.96 billion in the week before. The daily turnover averaged BDT 5.02 billion, which was 14.20 percent higher than the previous week’s average of BDT 4.39 billion.
“Stocks ended the week with consistent gain as the market was driven by industry specific news and economic updates,” said LankaBangla Securities, a stockbroker, in an analysis.
Out of 326 traded issues, 149 closed higher, 149 lower and 28 remained unchanged on the DSE trading floor last week.
BSRM Steels dominated the week’s turnover chart with shares of BDT 1.08 billion changing hands during the week followed by Beximco Pharma, IFAD Autos, Square Pharma and KDS Accessories.
Desh Garment was the week’s best performer, posting a rise of 20.33 percent while Savar Refractories was the week’s worst loser, plunging by 17.33 percent.

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