DSE broad index crosses 4,300 mark

The DSEX, the capital bourse of the country, posted marginal gains  though the index crossed 4,300 marks on Wednesday after five months.

Meanwhile, the daily turnover at the Dhaka Stock Exchange (DSE) also continued to impress. It rose 6 percent to Tk718 crore, the highest in the new fiscal year following increased participation from the investors.

The market opened on a positive note and the mid-session saw some volatility as investors went for profit taking after the recent gains. But finally, it managed to stay into the green zone as opportunistic investors continued showing their interest to inject fresh funds in the sector specific stocks at lucrative prices.

According to the review of a brokerage firm, the investors' confidence appeared to grow amid positive movement in the macroeconomic activities like Bangladesh export earnings rebound to record $3.91 billion in July.

The record happened because of an increased shipment of readymade garment products as global buyers reinstated their orders in view of improving the situation of coronavirus pandemic.

Analysts thanked the expansionary monetary policy declared by the central bank expecting that the increased money flow would help revive the economy from the Covid-19 fallout.

The Bangladesh Bank has set a target for moderate inflation, higher domestic and private sector credit growth and lower public credit growth, meant for supportive money flow to the economy. Investors have appreciated the bank rate reduction by 100 basis points.

DSEX - the benchmark at the DSE - gained 0.19 percent to close at 4,307 on Wednesday.

However, investors' attention was mostly concentrated on general insurance stocks which contributed over 27 percent of the day's trading turnover at the DSE; followed by pharmaceuticals and chemicals and engineering sectors with contributing 16 and 9 percent of turnover respectively.

Among all the sectors, general insurance gained maximum market capitalisation of 5.1 percent, whereas life insurance and mutual funds were at the second and third spot in the gaining table.

On the other hand, paper, cement and jute sectors lost around 2 percent of their respective market capitalisation.

Out of 352 issues traded at DSE, 155 advanced, 123 declined and 74 remained unchanged.

The port city's bourse, Chittagong Stock Exchange (CSE) also registered an upward trend at the end of the session. The selected index, CSCX and CASPI increased by 25.8 and 43.6 points respectively.

At the CSE, 113 advanced, 90 declined and 61 issues were unchanged.

The turnover at the port city bourse was of Tk17 crore.