Stocks opened lower on Wednesday as the recent dismal earnings disclosures and looming economic uncertainties eroded confidence of investors.
Following the previous three days’ fall, DSEX, the prime index of the Dhaka Stock Exchange (DSE), went down by 4.48 points or 0.07 per cent to 6,213, after the first hour of trading at 11:00am.
Two other indices saw negative trends till then. The DS30 index, comprising blue chips, lost 3.68 points to 2,179 and the DSE Shariah Index (DSES) shed 2.32 points to 1,345.
Turnover, another important indicator of the market, stood at only Tk 1.41 billion after the first hour of trading.
Market insiders said growing economic worries and dismal earnings declaration of listed companies eroded confidence of investors.
Gloomy macroeconomic outlook and the poor financial performance of the listed companies have weakened investors’ confidence on the trading floor, said a stockbroker.
The investors opted to protect their funds from the ailing market in an effort to minimize losses, he added.
Most of the traded issues remained stuck at the ‘floor price’. Of the issues traded, 46 declined, 31 advanced and 145 issues remained unchanged on the DSE.
Genex Infosys became the most traded stock till then with shares worth Tk 142 million changing hands.
The Chittagong Stock Exchange also opened lower with its All Shares Price Index (CASPI)—losing 20 points to stand at 18,461 while the Selective Categories Index – CSCX shedding 2.32 points to reach 11,061, also at 11:00am.
Of the issues traded till then 23 declined, 11 gained, and 21 remained unchanged with Tk 30 million.
