Dhaka, Bangladesh (BBN)-Bangladesh’s stock extended their losing streak for the five straight weeks that ended on Thursday as investor confidence eroded further in the wake of the prolonged political turmoil.
The week featured four trading sessions as market was closed on Tuesday due to public holiday on the occasion of Birthday of Bangabandhu Sheikh Mujibur Rahman.
Of those, first three sessions closed lower while last one saw marginal gain.
Week-on-week, DSEX, the prime index of the Dhaka Stock Exchange (DSE), dipped below the ‘psychological’ threshold of 4,500-mark and ended at 4,468.02 points, shedding 88.92 points or 1.95 percent.
The two others indices also ended in the red.
The DS30 index, comprising blue chips lost 27.74 points or 1.62 percent to close at 1,686.67 points.
The DSE Shariah Index dropped 23.30 points or 2.11 percent to close at 1,081.49 points.
The port city bourse Chittagong Stock Exchange (CSE) also ended lower for the five straight weeks with its Selective Categories Index – CSCX – plunged 135.61 points or 1.60 percent to close the week at 8,300.08 points.
The total turnover for the week stood at BDT 10.23 billion last week against BDT 14.22 billion in the week before as the week saw one less trading session.
The daily turnover for the week averaged BDT 2.55 billion, registering a decline of 10.06 percent over the previous week’s average of BDT 2.84 billion.
“The prime bourse stretched its bearish streak for the five consecutive weeks amid the shaky confidence form the market participants,” said International Leasing, in its weekly market analysis.
The prolonged political strife kept the investors worried. Though the market turnover declined investors preferred to stay on sideline, said the International Leasing.
LankaBangla Securities said: “The losing trend continued on the backdrop of frail investor confidence, which is taking heavy batter from the unresolved political scenario”.
“As investors had realized that the political turmoil had taken up the entire first quarter of 2015, their expectations for Q1 earnings turned grey with a genuine concern of the long term performance of the economy from the more sophisticated quadrant of investors,” said IDLC Investments, in its weekly market analysis.
The losers took a strong lead over the gainers as out of 318 issues traded, 247 declined, 60 advanced and 11 remained unchanged on the DSE trading floor.
Shahjibazar Power Company dominated the week’s top turnover chart with shares worth BDT 677.02 million changing hands followed by Lafarge Surma Cement, GP, IFAD Autos and ACI Limited.
Reckitt Benckiser was the week’s top gainer, posting a rise of 9.79 percent while Singer BD was the week’s worst loser, plunging by 20.41 percent following its price adjustment after record date.
BBN/BB/AI-20Mar15-11:20am (BST)