Dhaka, Bangladesh (BBN)- Bangladesh’s stocks witnessed a major setback on Wednesday as jitter investors dumped their holdings to avoid further erosion of their portfolios amid strict regulatory action on wrongdoers.
The market plunge came a day after the Bangladesh Securities and Exchange Commission imposed a record BDT 4.28 billion fine to nine investors for manipulating the share price of Beximco.
Following the news, the market saw a steep fall from the beginning of the session as investors, particularly the retail ones, went for panic sales, plunging below the 5,500-mark instantly at the opening.
Finally, DSEX, the core index of the Dhaka Stock Exchange (DSE), tumbled more than 132 points or 2.37 per cent to settle at 5,454.
DSEX shed over 204 points in the past three straight sessions.
Turnover, a crucial indicator of the market, however, rose to BDT 10.18 billion, which was 24 per cent higher than the previous day’s tally of BDT 8.23 billion led by sell pressure.
The investors are in a very tough situation as they are witnessing continuous erosion of their money, according to the market operators.
Of the 398 issues traded, 347 declined, 29 advanced and 22 remained unchanged.
Grameenphone was the most-traded stock with shares worth Tk 208 million changing hands, followed by Linde BD, Brac Bank, Sonali Aansh Industries, and Islami Bank.
Desh Garment was the top gainer with a 9.95 per cent gain while Fu-Wang Food was the worst loser, losing 9.92 per cent.
On the other hand, the Chittagong Stock Exchange (CSE) also tumbled with the CSE All Share Price Index (CASPI) shedding 306 points to settle at 15,291 and its Selective Categories Index (CSCX) losing 187 points to close at 9,284.
BBN/SSR/AD