Shares of Dhaka Stock Exchange (DSE) on Thursday nosedived as majority number of listed securities lost prices.
The president of Bangladesh Merchant Bankers Association (BMBA) Md. Sayadur Rahman said different factors including the discussion regarding settlement of negative equities played a role behind the Thursday's sharp fall.
Insiders and market operators said the impact of Ukraine-Russia crisis coupled with the recent bearish trend of the market intensified a straight fall in broad index.
The DSE saw a rise in turnover value due to investors' sale pressure, but the DSE broad index DSEX witnessed free fall as most of the major sectors saw price correction.
The DSE opened the Thursday's session positively but soon later the core index started to decline and a sharp falling trend was observed for more than two hours.
Afterwards, a flat movement of the broad index was observed till closure and finally the DSEX settled at 6839.44 with a loss of 1.57 per cent or 109.23 points.
The shariah based index DSES declined 1.52 per cent or 22.83 points to close at 1475.72.
The DS30 index comprising blue chip securities went down by 1.39 per cent or 35.52 points to close at 2514.97.
According to a market review of EBL Securities, the stock market witnessed a massive fall over the impact of Ukraine-Russia war.
"The investors refrained from themselves from making any new investment and mainly followed wait and see approach," said the EBL Securities.
Of 377 issues traded on Thursday, 30 advanced, 326 declined and 21 were unchanged on the premier bourse DSE.
On the day, Dhaka bourse posted a turnover of Tk 10.50 billion which was 18.29 per cent higher than the turnover of the previous session.
Of total turnover, Tk 213 million came from transactions executed in the block board.
According to a market review of International Leasing Securities, the stock market witnessed a massive fall due to the worldwide economic turmoil.
"Investors are getting worried about the war between Russia and Ukraine. The international market sees rise in oil and gas with a fear that the Ukraine-Russia crisis will disrupt supplies across the world," said the International Leasing Securities.
Of the major sectors which saw price correction, banking issues declined 1.2 per cent, engineering 0.5 per cent, financial institutions 2.7 per cent, fuel & power 1.4 per cent, general insurance 3.0 per cent, life insurance 2.6 per cent, pharmaceuticals & chemicals 1.1 per cent and telecommunication 0.5 per cent.
Investors' participation was concentrated mostly on textile sector which grabbed 18.6 per cent of the market turnover followed by pharmaceuticals & chemicals 13.7 per cent, miscellaneous 12.6 per cent, engineering 10.1 per cent and food & allied 7.2 per cent.
Beximco topped the scrip wise turnover chart with a value of Tk 890 million followed by Orion Pharma Tk 372 million, Bangladesh Shipping Corporation Tk 291 million, Dragon Sweater and Spinning Tk 263 million, and Olympic Industries Tk 211 million.
Pacific Denims was the number one gainer with a rise of 9.92 per cent ot Tk 1.20 to close at Tk 13.30 each.
Imam Button Industries was the worst loser after declining 6.81 per cent to close at Tk 30.10 each.
CASPI, benchmark index of Chittagong Stock Exchange (CSE), on Thursday declined 1.58 per cent or 322.16 points to close at 19991.55 points.
Of 309 issues traded, 36 advanced, 254 declined and 19 were unchanged and the port-city bourse posted a turnover of Tk 374.59 million.
