Business Desk:
Stocks extended their rally on Tuesday with the key index of the Dhaka Stock Exchange (DSE) and market-cap setting new records as investors put fresh bets on bank and insurance issues.
DSEX, the prime index of the DSE, went up by 38.24 points or 0.56 per cent to settle at 6,787 — the highest since its inception more than eight years back on January 27, 2013.
DSEX added 170 points in the past four straight sessions. The DSE Shariah Index (DSES) followed the suit to close at a record high at 1,469 after a fractional gain of 0.20 point. However, the DS30 index, a group of 30 prominent companies, shed 5.44 points to settle at 2,422.
The market capitalisation of the DSE also hit a fresh all-time high at Tk 5,512 billion on Tuesday, surpassing the previous day’s record high of Tk 5,490 billion.
Turnover, a crucial indicator of the market, remained high to Tk 26.73 billion on the country’s premier bourse, which was 9.0 per cent lower than the previous day’s decade high of Tk 29.54 billion.
The turnover maintained an average of Tk 24.82 billion in the last 10 consecutive sessions as both the high net worth individual and institutional investors were active on the trading floor.
Market insiders said the market remained bullish over the past few weeks due to lower returns on the money market and limited scope of investment in other instruments while extended credit facilities have further boosted investor sentiment. The Bangladesh Securities and Exchange Commission (BSEC) on Thursday revised the limit of margin loan facilities based on the DSE key index – at a maximum rate of 1:0.80 when the DSEX is below 8,000.
In other words, a maximum margin loan of Tk 80 can be provided against a client’s own investment of Tk 100.
Gainers took a modest lead over the losers, as out of 374 issues traded, 192 advanced, 174 declined and eight remained unchanged on the Dhaka bourse.
Beximco – the flagship company of Beximco Group-topped the turnover list with shares worth Tk 1.07 billion changing hands, followed by IFIC Bank (Tk 1.0 billion), LankaBangla Finance (Tk 965 million), National Housing Finance & Investment (Tk 533 million) and AB Bank (Tk 497 million).
