Dhaka, Bangladesh (BBN)- The losing streak of the country’s stocks extended for the fourth straight week with its key index dipping below 3,800-point mark because of growing uncertainties in the political front.
Week-on-week, the benchmark index of the Dhaka Stock Exchange - DSEX - went down by 44.28 points or 1.15 percent to close below the psychological level of 3,800 points to 3,799.27 points.
The DS30 Index, comprising blue chips, also declined sharply by 26.91 points or 1.94 per cent to end the week at 1,361.04 points.
The Chittagong Stock Exchange (CSE) also ended lower with, its Selective Category Index losing 51.91 points or 0.69 per cent to close the week at 7,442.32 points.
The turnover remained dry on the DSE as the total turnover for the week stood at BDT 9.93 billion against BDT 11.90 billion of the previous week.
The daily average turnover value came down to BDT 1.98 billion, registering a 16.6 percent decline over the previous week's average value of BDT 2.38 billion.
Market operators said the country’s stocks suffered a big jolt, as fear of fresh turmoil in the political front mounted over the upcoming national election.
"Excitement in the political frontier centring imminent political issues represented a snapshot throughout the week," IDLC Investments, said in its weekly market analysis.
"This created a vibe amid investment community in a dynamic shape. Consequently, waning tone stretched after long closure of Eid-ul-Azha," said the merchant bank.
The week started with a downhill in indices as investors were focusing on upcoming political situation. The stressful situation because of opposite stance by political parties fuelled in panic sale and derailed the market again at the ending the week.
All the major sectors ended in red this week except banks. The largest sector of the market gained 3.01 percent in the week.
Telecommunications lost the most with 2.45 percent loss, followed by fuel and power with 1.79 percent, non-banking financial institution (NBFIs) with 1.15 percent and pharmaceuticals with 0.82 percent.
The losers took a strong lead over the gainers as out of 292 issues traded during the week, 211 declined, 72 advanced and 9 remained unchanged on the prime bourse.
During the week, investors followed last several weeks' trend and positioned mostly in textile and pharmaceuticals, accounting for 24.41 percent and 12.50 percent of the total market turnover.
The market capitalisation of the DSE went down by 1.24 percent as it was BDT 2,464.17 billion on the opening day of the week and it stood at BDT 2,433.68 billion on closing day of the week.
Eight listed companies - Malek Spinning Mills, Marico Bangladesh, Titas Gas, Fu-Wang Ceramic, Shyampur Sugar Mills, Zeal Bangla Sugar Mills, Rahim Textile and Fine Foods - made corporate declaration during the week.
Argon Denim became the week's top turnover leader with shares worth BDT 572.96 million changing hands followed by Envoy Textile, Square Pharma, Generation Next Fashion and Bangladesh Submarine Cable Company.
Libra Infusion was the week's top gainer, posting a rise of 17.31 percent while Fine Foods was the week's worst loser for the second consecutive week, slumping by 19.73 percent.
BBN/SSR/AD-26Oct13-12:35 pm (BST)