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Dhaka, Bangladesh (BBN)- Bangladesh’s stocks suffered loss for fourth straight week that ended on Thursday as worried investors continued heavy sell-offs amid lack of confidence to the market.
Insiders said the investors’ confidence remains low to the market as prevailing bearish market trend coupled with disappointing earnings results, taking toll on the market.
The week featured five trading sessions as usual and all five trading sessions closed lower.
DSEX, the prime index of the Dhaka Stock Exchange (DSE), went down by 255 points or 4.48 percent to settle the week at one year lowest level to 5,443 points.
Two other indices also ended lower with the DS30 index, comprising blue chips, fell sharply by 103 points to finish at 2,025 and the DSES (Shariah) index shed 41 points to settle at 1,277.
The port city’s bourse the Chittagong Stock Exchange (CSE) also saw sharp decline with the CSE All Share Price Index – CASPI – losing 457 points to settle at 16,804 and the Selective Categories Index – CSCX – plunging by 270 points to close at 10,159.
EBL Securities said: “The week passed a bearish mode triggered the index falling below 5,500-mark following the dissatisfactory earnings declarations”.
“The downward trend led by telecommunication and banking sectors as expectation regarding upcoming earnings has been marred by some recent disclosures,” said the stockbroker.
Bearish sentiment also reflected on the trading activities as total turnover on the DSE amounting to BDT 19.52 billion last week, against BDT 26.18 billion in the week before.
The daily turnover averaged BDT 3.91 billion, which was 25 percent lower than the previous week’s average of BDT 5.23 billion.
According to International Leasing Securities, stocks witnessed price correction for the fourth consecutive weeks and lost 400 points in its prime index amid concerned trading behavior of the investors.
“The ongoing bearish trend and disappointing quarterly earnings declaration of most of the companies eroded the investors’ confidence,” said the stockbroker.
The losers took a strong lead over the gainers as out of 342 issues traded, 268 closed lower, 61 advanced and 13 issues remained unchanged on the DSE floor.
Western Marine Shipyard dominated the turnover chart with 32.20 million shares worth BDT 1.15 billion changing hands, followed by United Power, Bangladesh Steel Re-rolling Mills, Beximco and BRAC Bank.
Monno Jute Stafflers was the week’s best performer, posting a gain of 20.51 percent while the ONE Bank was the week’s worst loser, losing 24.54 percent.
Intraco Refueling Station, which made its share trading debut in the last session of the week, soaring 336 percent, from its issue price of BDT 10 each, to close at BDT 43.60.
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