Dhaka stocks on Sunday inched down on a profit-taking selling pressure, breaking a five-day gaining streak, market operators said.
The market started upbeat on the day with MJL Bangladesh Ltd making its debut on the bourse but the selling pressure pulled the share prices down after the first hour of trading.
The benchmark general index of Dhaka Stock Exchange lost 6.00 points, or 0.10 per cent, to close the day at 5,841.25 points. The general index, or DGEN, had gained 162 points over the previous five trading days.
A DSE stockbroker said, 'It's a natural correction of the market after the five-day rise.'
Market operators said stock prices had gained over the last week on the speculation that the government might finally include a provision in the budget for fiscal 2011-2012 allowing legalisation of undisclosed money invested in the capital market as the parliamentary standing committee on finance ministry started lobbying for it.
The Bangladesh Bank's move in the last week allowing the commercial banks to calculate the credit-deposit ratio considering other banks' deposits as a source of fund also helped the market to rise, they said.
Mahmood Osman Imam, a professor of finance at Dhaka University, said, 'The five-day rise doesn't really show any positive picture of the market as the turnover is still very low.'
The continued rise in the general index in the previous five days was based mainly on a perception that the government might allow legalisation of undisclosed money invested in the capital market, he argued, adding that 'If the budget finally does not include such a provision, the market will turn volatile again.'
On its debut on Sunday, the share price of MJL Bangladesh posted a 27.48 per cent rise to close the day at Tk 145.20. A longstanding listing deadlock of the company finally resolved on Sunday through a listing agreement signed between the DSE and MJL Bangladesh in the DSE conference room.
The day's turnover of the bourse dropped to Tk 506.84 crore from that of Tk 616.28 crore on the previous trading day.
Source : New Age
No comments:
Post a Comment