Investors returned to bargain-hunting on the Dhaka Stock Exchange (DSE) on Thursday, lifting share prices and trading activity after sharp losses in recent sessions.
The benchmark DSEX index gained 71.4 points, or 1.3 per cent, to close at 5,413 points, recovering from 5,342 points in the previous session. Turnover rose 23.6 per cent to Tk 645.40 crore from Tk 522.30 crore, signalling stronger buying interest.
The market stayed positive throughout the session as investors picked up shares at lower prices following the recent correction.
However, continued unrest and lingering uncertainty remained a drag on overall sentiment.
A market review by Prime Bank Securities attributed the rebound to buying in bank shares, a return of sidelined investors and improving sentiment over the easing of labour unrest in the readymade garment sector.
The DSEX had hit a five-month low on 2 November, and Thursday’s rise marked the market’s second consecutive session of gains.
Banks led sectoral performance, with the banking index rising 2.8 per cent, the strongest gain among sectors.
Buying interest followed a proposal to Bangladesh Bank to ease the cash-dividend restriction linked to banks having paid-up capital of Tk 2,000 crore. The proposal has not yet been approved.
Prime Bank Securities highlighted gains in several banking stocks, with Prime Bank rising 4.9 per cent, Pubali Bank 4.3 per cent, City Bank 3.2 per cent and Bank Asia 2.9 per cent.
The report also pointed to a sharp fall in global crude oil prices and the outcome of the US midterm elections as factors supporting investor sentiment. Oil prices fell more than 8 per cent in the previous session to around $95 a barrel, while Democrats won control of both chambers of the US Congress.
The report said investors viewed the US election result as increasing pressure to bring the Iran war to an end, lifting global risk appetite.
The blue-chip DS30 index advanced 31 points, or 1.5 per cent, to 2,069, while the SME platform’s DSMEX index rose 4.1 points, or 0.4 per cent, to 945.
Market capitalisation increased 0.6 per cent to Tk 6,73,600 crore from Tk 6,69,800 crore in the previous session, adding around Tk 3,730 crore in a day.
Market breadth was firmly positive, with 249 securities advancing, 81 declining and 65 remaining unchanged among 395 traded issues.
Textiles led turnover, accounting for 21.6 per cent of total transactions. General insurance followed with 13 per cent, while fuel and power contributed 10.6 per cent.
Ceramics led sectoral gains, rising 4.8 per cent, followed by paper and printing at 3 per cent and financial institutions with 2.3 per cent. Most sectors closed higher, although mutual funds fell 0.7 per cent, telecommunications declined 0.5 per cent and textiles edged down 0.1 per cent.
Zaheen Spinning Mills was the day’s top gainer, rising 9.09 per cent. Sharp Industries gained 8.77 per cent and Orion Infusion advanced 8.62 per cent.
Eastern Lubricants recorded the steepest fall, dropping 16.18 per cent. First Security Islami Bank First Mutual Fund declined 6.72 per cent, while MBL First Mutual Fund lost 5.68 per cent.
Shahjibazar Power led turnover among individual stocks with transactions worth Tk 23.62 crore, narrowly ahead of Envoy Textiles at Tk 23.59 crore.
Nahee Aluminum Composite Panel recorded Tk 14.27 crore in turnover, followed by IPDC Finance at Tk 13.19 crore and First Prime Bank Mutual Fund at Tk 12.73 crore.
