Dhaka, Bangladesh (BBN) -Dhaka stocks rebounded on Tuesday with turnover hitting sharply lower as the risk averse investors preferred to stay in sideline.
The market recovered more than half of losses seen in previous session due to panic selling over the negative outcome of the probe report.
The DSE General Index, yardstick of the market, was up by 160.53 points or 2.56 per cent to end at 6423.22, lifted mainly by institutional buying.
Participation of the investors, particularly retailers, in trading was poor as turnover value clocked at Tk 7.9 billion, sharply down by 35.3 per cent over the previous session and lowest this month.
The market rose across the board as more than 90 per cent issue prices soared. The banking issues, the market’s bellwether that badly suffered in previous day, were back on the rail, rising 1.66 per cent.
Among the major sectors, non-banking financial institutions gained 2.51 per cent, telecommunications 1.44 per cent and energy 2.61 per cent.
“Previous day’s panic selling pressure has subsided today, helping the market back on track,” said Akter H Sannamat.
Investors pinned on hope that implementation of probe report’s recommendation and amendment of banking company act relating to investment in the capital might be delayed, he said.
On poor turnover, a stockbroker said, investors who went for panic sale previous day preferred to stay in sideline.
The panel in its report submitted to the finance minister on March 7 named individuals and institutions and recommended action.
On Sunday, the Bangladesh Bank said that it was mulling to restrict banks’ exposure in the stock market as a percent of equity while current exposure is calculated based on the deposit or liability.
BBN/KMS/SI/AD-12April11-8:39 pm (BST)
