Stocks tumbled on Tuesday with the key index of the Dhaka Stock Exchange (DSE) falling below the 6,600-mark after one month as investors sold shares to avoid further losses.
Following the previous day’s modest correction, the market opened lower and the downturn continued until the end of the session with no sign of reversal.
Finally, DSEX, the prime index of the DSE, went down by 64.49 points or 0.97 per cent to settle at 6,574.
Two other indices also ended sharply lower with the DSE 30 Index, comprising blue chips, shedding 20.26 points to close at 2,431 and the DSE Shariah Index (DSES) fell 11.87 points to finish at 1,442.
Turnover, a crucial indicator of the market, stood at Tk 5.32 billion, which was 4.50 per cent lower than the previous day’s tally of Tk 5.57 billion.
Market analysts said the investors are struggling with a lack of confidence amid persistent volatility in the market.
“The market closed in the red again with no clear direction of the market due to the cautious trading behaviour of both buyers and sellers,” said a leading broker.
Shorter trading periods in the Holy Ramadan and liquidity needed for upcoming Eid-ul-Fitr have also exacerbated the market situation, he said.
Prices of more than 89 per cent traded issues declined, as out of 378 issues traded, 337 declined, 18 advanced and 23 remained unchanged on the DSE trading floor.
IPDC Finance was the most traded stock with shares worth Tk 542 million changing hands, followed by Beximco (Tk 290 million), LafargeHolcim (Tk 149 million), Genex Infosys (Tk 144 million) and Bangladesh Lamps (Tk 110 million).
The newly listed JMI Hospital Requisite Manufacturing continued to top the gainer list for the ninth straight session, posting a 9.85 per cent gain while LankaBangla Securities was the day’s worst loser, losing 4.12 per cent following its corporate declaration.
The Chittagong Stock Exchange (CSE) also ended lower with the CSE All-Share Price Index – CASPI –losing 145 points to settle at 19,349 and the Selective Categories Index – CSCX—shedding 87 points to close at 11,608.
Of the issues traded, 219 declined, 26 advanced and 28 remained unchanged on the CSE.
The port city bourse traded 4.57 million shares and mutual fund units while a turnover was Tk 135 million.
