DSEX fell below 5200 again after 13 days

The DSEX fell 47 points to settle at 5,197. Two other major indices also fell, with the DSE Sharia index losing 11 points to close at 1,151 and the blue-chip DS30 index falling 15.58 points to settle at 1,919.

TVS report

November 21, 2024, 22:40

Last modified: November 21, 2024 at 10:40 pm.

Dhaka Stock Exchange. Photo from the archive: Collected

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Dhaka Stock Exchange. Photo from the archive: Collected

The benchmark DSEX index of the Dhaka Stock Exchange (DSE) fell below 5,200 points today (November 21), its lowest level in 13 trading days, as investors continued to sell off amid subdued sentiment and growing concerns about the market’s prospects.

The DSEX fell 47 points to settle at 5,197. Two other major indices also fell, with the DSE Shariah index losing 11 points to close at 1,151 and the blue-chip DS30 index falling 15.58 points to settle at 1,919.

The last time the DSEX dropped below 5,200 points was on November 3 at 5,190 points.

Meanwhile, most stocks experienced price declines amid selling pressure.

Of the stocks traded, 66 stocks registered an increase in price, 263 saw a decrease and 54 remained unchanged. Trading activity also remained subdued as total turnover on the DSE fell 7.4 per cent to Tk 363 crore from Tk 393 crore in the previous session, DSE data said.

DSE data showed today’s session started on a positive note but quickly turned around after the first 23 minutes as selling pressure intensified. Bearish sentiment pushed the indices further lower throughout the day, ending with significant losses.

Earlier on October 27, the DSEX index dropped below 5,000 for the first time in over four years amid strong bearish sentiment and prevailing uncertainty, raising concerns about the possibility of a market bottom.

The Capital Exchange briefly paused its long losing streak on Oct. 29 as bargain hunters took positions in stocks based on recent earnings announcements in search of short-term gains. It followed attempts by regulators to restore investor confidence by setting up a committee to investigate the reasons for the recent downward trend in the market.

EBL Securities in its daily market update said: “The gloomy capital market failed to recover from the persistent pessimism that gripped the trading floor, with the benchmark index falling below the 5,200 mark as selling pressure continued to dominate the market amid subdued sentiment and rising tensions over the outlook market”.

“The market remained pessimistic throughout the session as investors shied away from taking positions in equities due to the lack of any positive catalysts that could revive flagging investor sentiment,” the commentary said.

In terms of sectors, banking stocks led the float with a share of 21.2%, followed by food and allied stocks with 12.9% and pharmaceuticals with 11%.

Best Wins and Losses

Shares of Khan Brothers PP Woven Bag Industries topped the list of top gainers today, rising 5.96% to Tk 154.5 per share. Midland Bank followed, rising 5.65% to Tk35.5, while C&A Textile rose 4.08% to Tk5.1.

The biggest loser was the mutual fund Prime Finance First, which fell by 9.76% to KZT 38.8 per unit. Doreen Power fell 9.57 per cent to Tk 23.6, while Shinepukur Ceramics fell 8.39 per cent to Tk 12.

The port city’s Chittagong Stock Exchange (CSE) also ended in the red. The individual indexes (CSCX) and All Share Price Index (CASPI) fell 55.7 and 87.9 points, respectively.