Dhaka, Bangladesh (BBN)– Bangladesh’s stocks ended marginally higher last week that ended on Thursday, snapping a two weeks losing streak, as investors showed their buying appetite on some large-cap issues amid optimism.
Market insiders said the investors took position on sector specific large-cap issues anticipating short-term rally as the government decided to cut yield rates of savings instruments from next month.
Meanwhile, during the Ramadan, the trading on both bourses — the Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE) will start at 10:00am and continue till 2:00pm.
The week witnessed five trading sessions as usual. Of them, first session faced correction while last four closed higher.
The benchmark index of the DSE went up by 14.16 points or 0.26 percent to settle at 5,414 points.
The two other indices also closed higher. The DS30 index, comprising blue chips, soared 19.57 points or 0.98 percent to close at 2011 points.
The DSE Shariah Index also advanced 5.40 points or 0.43 percent to close at 1,261 points.
The port city bourse, Chittagong Stock Exchange (CSE), also finished higher with its Selective Categories Index, CSCX, gaining 34.58 points or 0.34 percent to settle at 10,159 points.
The total turnover for the week stood at BDT 26.99 billion, registering a decline of 9.0 percent over the previous week’s BDT 29.70 billion.
The daily turnover averaged at BDT 5.40 billion, which was 9.0 percent lower than the previous week’s average of BDT 5.94 billion.
EBL Securities said, “Several factors including declaration on yield rate cut of national savings instruments and upcoming budget aspiration, helped to reinstate investors’ confidence to take fresh position on sector specific stocks”.
International Leasing Securities, a stockbroker, said, “The market backed to the green after a two-week break as the enthusiastic investors went for buying spree”.
The stockbroker noted that the ongoing pessimism coupled with VAT rate reformation, kept most of the investor’s in the side line.
“Participation of the investors on the issues from food, power and telecom stocks contributed to surge the prime index,” said the stockbroker.
Out of 332 issues traded, 169 closed lower, 139 closed higher and 24 remained unchanged on the DSE trading floor.
One multinational listed company – Berger Paints Bangladesh — recommended 425 percent final cash dividend for the 15 months period from January 01, 2016 to March 31, 2017 last week.
The company declared total 600 percent cash dividend for the 15 months period as the company already disbursed 175 percent interim cash divined.
IFAD Autos topped the week’s turnover chart with about 12.25 million shares of BDT 1.66 billion changing hands, closely followed by United Power, Paramount Textile, Bangladesh Shipping Corporation and Doreen Power.
The Peninsula Chittagong was the week’s highest gainer, posting a 14.66 percent rise, while Rupali Insurance Company was the worst loser, shedding by 13.71 percent.