Al Amin :
Stocks witnessed biggest fall in share prices in seven years on Monday, wiping off investor wealth worth hundreds of crores of taka, a day after health authorities confirmed first three coronavirus cases in Bangladesh.
Analysts said, fears over coronavirus triggered a sharp fall in almost all of the shares and it descended a pall of gloom among thousands of small investors at the country’s both bourses–Dhaka Stock Exchange (DSE) and Chattogram Stock Exchange (CSE)
Key share price index at DSE plunged 6.51 per cent, the biggest decline since the new index of the country’s prime bourse was launched in January 2013.
At the end of the day, the DSEX stood at 4008 points losing 279 points, while CSE index stood at 12343 point losing 5.76 per cent.
The Dhaka bourse closed 30 per cent below its 52-week high on March 12 in 2019.
Besides, the two selective indices, Blue Chip index, DSE30 and Shariahindex, DSES also went down by 88.89 points and 69.79 points to settle at 1346.11 points and 929.27 points respectively.
The daily turnover, another crucial indicator of the market, stood at Tk 4.99 billion, which was higher over previous day’s mark of Tk 4.28 billion.
On the DSE trading floor, a total number of 154,392 trades were executed in the day’s trading session with a trading volume of 209.92 million securities.
Loser took a massive lead over gainers as out of 355 issues traded, 2 securities gained price while 352 declined and 1 remained unchanged. The market-cap of the DSE also fell to Taka 3,142 billion, from Taka 3,315 billion in the previous session.
Only Mutual Trust Bank gained price in the day’s trading session. Square Pharma topped the turnover chart followed by Grameenphone, LafargeHolcim Bangladesh, Summit Power, Sea Pearl Beach, Brac Bank, Orion Infusion, Bank Asia, VFS Thread and Orion Pharma.
The top 10 losers were – Prime Finance First Mutual fund, Agrani Insurance, Anlima Yarn, Beacon Pharma, CVO PRL, Indo-Bangla Pharma, National Tubes, Oimax Electrode, Peninsula Chittagong and Simtex Industries.
On the other hand, port city bourse, Chittagong Stock Exchange (CSE) also closed at red extending the bearish streak of previous day.
CSCX and CASPI declined by 466.88 points and 769.32 points to stand at 7470.67 points and 12328.79 points respectively.
At CSE, a total of 12,736,925 shares and mutual fund of 256 companies were traded of which, 4 issues advanced while 248 declined and 4 issues remained unchanged.
The falling share prices in the bourses came after global markets were rattled by the epidemic in recent days.
Global share markets also plunged on Monday as panicked investors fled to the safety of bonds and the yen to hedge the economic trauma of the coronavirus, while oil plunged more than 30 percent after Saudi Arabia opened the taps in a price war with Russia.
Saudi Arabia had stunned markets with plans to raise its production significantly after the collapse of OPEC’s supply cut agreement with Russia, a grab for market share reminiscent of a drive in 2014 that sent prices down by about two thirds.
The shock in oil was seismic as Brent crude futures slid $12 to $33.20 a barrel in chaotic trade, while U.S. crude shed $11.80 to $29.48.
In Asia, stocks tumbled, the safe-haven yen surged and emerging market currencies with exposure to oil tumbled in volatile trade.
Heavy selling was set to continue, with European futures sharply lower and U.S. futures hitting their down limit.
British stocks had the biggest intraday fall since 2008 and benchmark bond yields turned negative for the first time on Monday on investor fears that the coronavirus outbreak could stall the global economy.
As the worries about the coronavirus outbreak hammered markets, Prime Minister Boris Johnson was preparing to chair an emergency meeting at which more stringent measures to tackle the outbreak will be considered.
The FTSE 100 plunged to a three-year low after Saudi Arabia crashed the oil prices by slashing its own selling prices and raising output.
