Bourses end week with strong rebound
Dhaka, May 10 (UNB) - Stocks at both the bourses - Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE) - bounced back strongly on Thursday, a day after experiencing a steep fall following a panic sale.
The DSE benchmark index, DGEN that went below 5,000 points after 26 trading sessions, made a U-turn and gained 175.02 points or 3.57 percent to close at 5076.62 today.
On Wednesday, the tracking index of the premier bourse lost 168.69 points or 3.33 percent to close at 4,901.61 while it lost 98.62 points or 1.91 percent on Tuesday.
“The news of withdrawal of writ petition by one director/sponsor of Phoenix Finance and Investments Limited boosted investors’ confidence, which was earlier severely affected by the writ petition on SEC’s directive last Monday,” IDLC Investments Limited said in its daily market commentary.
Besides, in absence of any fresh schedule of political protest, political instability got a pause making investors hopeful at the weekend, it said.
The announcement of the twin bourses decision to appeal to the High Court to make them respondents to the writ petitions filed by the directors of different companies challenging the minimum shareholding rule also helped boost investors’ confidence, market analysts said.
The two bourses made the announcement after an emergency meeting with the Securities and Exchange Commission on Wednesday.
Earlier, on Tuesday, the High Court issued a rule asking the stock market regulator to explain within a week why a directive on minimum shareholding by listed companies' directors should not be declared illegal.
Tuesday's petition was the fourth on the minimum shareholding requirement filed by the directors of different companies with the same High Court bench since April 8.
The stock market regulator made it compulsory on November 22 last year for sponsors, directors and promoters of listed companies to individually hold at least 2 percent stake in their own companies.
Of the issues traded at the DSE today, 238 issues gained, 15 suffered losses and 5 remained unchanged. On Wednesday, only 13 issues gained while 245 suffered losses.
The DSE turnover escalated up to Tk 421 crore against Tk 383 crore recorded on Wednesday, showing 9.82 percent rise from previous trading session. The turnover was Tk 378 crore on Tuesday and Tk 356 crore on Monday.
During the day’s upward movement, all the major sectors went up while non-bank financial institutions - NBFI (7.11%), Cement (5.93%) and Engineering (-5.82%) were the most gaining sectors.
Similarly, the CSE key index, CSCX, gained 319.76 points to close at 9589.05 today though it lost 331.73 points on Wednesday.
At the CSE, 166 issues gained, 11 suffered losses and three remained unchanged at the end of the day’s trading. In a reversal way, 9 issues gained, 171 suffered losses and 6 remained unchanged on Wednesday.
The CSE turnover climbed up to Tk 61.69 crore as against Tk 49.20 crore recorded on Wednesday.
The DSE benchmark index, DGEN that went below 5,000 points after 26 trading sessions, made a U-turn and gained 175.02 points or 3.57 percent to close at 5076.62 today.
On Wednesday, the tracking index of the premier bourse lost 168.69 points or 3.33 percent to close at 4,901.61 while it lost 98.62 points or 1.91 percent on Tuesday.
“The news of withdrawal of writ petition by one director/sponsor of Phoenix Finance and Investments Limited boosted investors’ confidence, which was earlier severely affected by the writ petition on SEC’s directive last Monday,” IDLC Investments Limited said in its daily market commentary.
Besides, in absence of any fresh schedule of political protest, political instability got a pause making investors hopeful at the weekend, it said.
The announcement of the twin bourses decision to appeal to the High Court to make them respondents to the writ petitions filed by the directors of different companies challenging the minimum shareholding rule also helped boost investors’ confidence, market analysts said.
The two bourses made the announcement after an emergency meeting with the Securities and Exchange Commission on Wednesday.
Earlier, on Tuesday, the High Court issued a rule asking the stock market regulator to explain within a week why a directive on minimum shareholding by listed companies' directors should not be declared illegal.
Tuesday's petition was the fourth on the minimum shareholding requirement filed by the directors of different companies with the same High Court bench since April 8.
The stock market regulator made it compulsory on November 22 last year for sponsors, directors and promoters of listed companies to individually hold at least 2 percent stake in their own companies.
Of the issues traded at the DSE today, 238 issues gained, 15 suffered losses and 5 remained unchanged. On Wednesday, only 13 issues gained while 245 suffered losses.
The DSE turnover escalated up to Tk 421 crore against Tk 383 crore recorded on Wednesday, showing 9.82 percent rise from previous trading session. The turnover was Tk 378 crore on Tuesday and Tk 356 crore on Monday.
During the day’s upward movement, all the major sectors went up while non-bank financial institutions - NBFI (7.11%), Cement (5.93%) and Engineering (-5.82%) were the most gaining sectors.
Similarly, the CSE key index, CSCX, gained 319.76 points to close at 9589.05 today though it lost 331.73 points on Wednesday.
At the CSE, 166 issues gained, 11 suffered losses and three remained unchanged at the end of the day’s trading. In a reversal way, 9 issues gained, 171 suffered losses and 6 remained unchanged on Wednesday.
The CSE turnover climbed up to Tk 61.69 crore as against Tk 49.20 crore recorded on Wednesday.
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