The market began the week unfavourably, as the DSEX experienced declines for three consecutive sessions before managing a recovery in the final two days. However, the late-week gains were insufficient to offset the earlier losses.
Infographics: TBS
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Infographics: TBS
The bearish trend in Bangladesh’s stock market continued last week, with average daily turnover on the Dhaka Stock Exchange (DSE) falling 21% and its benchmark index declining 1.01% over five trading sessions.
The DSEX lost 56.07 points, closing at 5,475.58 points. Average daily turnover fell to Tk556 crore, while market capitalisation declined 0.25% to Tk6.84 lakh crore.
The market began the week unfavourably, as the DSEX experienced declines for three consecutive sessions before managing a recovery in the final two days. However, the late-week gains were insufficient to offset the earlier losses.
The index fell 0.89% on Sunday, 0.68% on Monday and 0.37% on Tuesday before gaining 0.72% on Wednesday and 0.21% on Thursday.
The blue-chip DS30 index edged up 2.13 points, or 0.10%, to 2,105.68 points. The Shariah-based DSES index fell 13.28 points, or 1.21%, to 1,086.97 points, while the large-cap CDSET index advanced 5.22 points, or 0.47%, to 1,108.48 points.
Market breadth remained heavily negative. Of the 385 stocks traded on the DSE, 290 declined, 81 advanced and 14 remained unchanged, meaning roughly three-fourths of the traded stocks ended the week lower.
Islami Bank Bangladesh, United Commercial Bank, Beximco Pharmaceuticals, Walton Hi-Tech Industries and Square Pharmaceuticals were among the major contributors to the DSEX’s decline.
Mutual funds recorded the steepest sectoral fall, dropping 6.60% over the week. General insurance stocks declined 5.16%, non-bank financial institutions (NBFIs) fell 0.78% and life insurance stocks lost 0.33%. Bank stocks bucked the trend, edging up 0.04%.
Among large-cap non-financial sectors, pharmaceuticals recorded the biggest decline, falling 1.05%. Food and allied stocks slipped 0.19%, while engineering stocks lost 0.05%. Telecommunication stocks gained 0.27%, and fuel and power advanced 0.15%.
Textile stocks accounted for 32% of total DSE turnover, making the sector the largest contributor to trading activity. Pharmaceuticals accounted for 9.8%, followed by general insurance at 9.5%. Saiham Textile, Paramount Textile and Evince Textile were the most actively traded stocks during the week.
Apex Foods led the gainers, with its share price rising 26.66%, followed by Bangladesh Lamps at 17.10% and Aziz Pipes at 12.96%. Phoenix Finance First Mutual Fund was the worst performer, plunging 22.73%. Silva Pharmaceuticals fell 16.80%, while MBL First Mutual Fund declined 16.67%.
The Chittagong Stock Exchange (CSE) also recorded losses. Its All Share Price Index (CASPI) fell 1.15% to 14,661 points, while the Selective Categories’ Index (CSCX) declined 0.92% to 9,017 points.
Despite the weekly setback, the DSE’s major indices remained in positive territory year to date. The DSEX gained 12.54%, the DS30 rose 13.60%, the DSES advanced 8.62% and the CDSET increased 10.32%.
In its weekly market review, EBL Securities said the ailing capital market had extended its recovery for a second consecutive session, offering some respite from the recent downturn as bargain hunters returned to accumulate beaten-down stocks at increasingly attractive prices.
The market remained volatile, with trading reflecting active participation from both buyers and sellers. Stronger buying helped the market close in positive territory, although broader investor sentiment remained subdued amid expectations of lacklustre corporate earnings, the review said.
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