Dhaka stocks returned to black in last week riding on the speculation that the government might finally include a provision in the budget for fiscal 2011-2012 allowing legalisation of undisclosed money for investment in the capital market as the parliamentary standing committee on finance ministry started lobbying for it.
The benchmark general index of Dhaka Stock Exchange, or DGEN, in the week gained 71.08 points or 1.23 per cent to finish at 5,847.26 points. In the previous week, the index had lost 213.64 points.
The average daily turnover in the last week dropped by 18.93 per cent to Tk 442.89 crore, which is Tk 103.43 crore less than that in the previous week as institutional investors had remained mostly inactive due to June book closing of the banks.
Investors on Monday took to the street again protesting at the relentless fall in share prices and demanding immediate resignation of finance minister Abul Maal Abdul Muhith, Bangladesh Bank governor Atiur Rahman, Securities and Exchange Commission chairman M Khairul Hossain, and DSE president Shakil Rizvi for their failure to stabilise the market.
Market operators said a number of moves made by the parliamentary standing committee on finance ministry and the Bangladesh Bank in the last week boosted the investors and helped the bourse rebound.
They said the central bank's decision to allow the commercial banks to calculate the credit-deposit ratio considering other banks' deposits as a source of fund would help them minimise the liquidity crisis prevailing in the money market.
They, however, said investors were hoping that the move would also ease the liquidity crunch in the capital market but only if that money was invested in equities.
They also said the market continued to gain after the chairman of the parliamentary standing committee on finance ministry, AHM Mostafa Kamal, had announced on Tuesday that the committee would request finance minister AMA Muhith to allow legalisation of undisclosed money meant for investment in the equities market while finalising the proposed budget.
The committee on Thursday recommended that the finance ministry should include a provision in the final budget allowing legalisation of undisclosed money meant for investment in the stock market.
The DGEN had gained 162 points in the last four trading sessions riding on the hope that a provision would be there in the final budget allowing legalisation of undisclosed money. The index had shed 213 points in the week since June 9, the day the finance minister had tabled the proposed budget in the parliament, ignoring the request of the Jatiya Sangsad body to allow legalisation of undisclosed money for investment in the capital market.
The DGEN on Sunday lost 89.45 points, or 1.54 per cent, in line with the previous week's downtrend as individual investors became unnerved by the post-budget proposal volatility.
On Monday, the index inched up 9.05 points, or 0.16 per cent, while the aggravated investors took to the street to protest the free fall in share prices.
The DGEN on Tuesday made a moderate gain of 49.31 points, or 0.86 per cent, on the move made by the central bank to ease the liquidity crisis in the money market.
On Wednesday, the DGEN advanced by 63.11 points, or 1.09 per cent, as AHM Mostafa Kamal had announced on the previous day that the JS body would request Muhith again to include a provision in the proposed budget that would allow legalisation of undisclosed money for investment in the capital market.
Speculations about the legalisation of undisclosed money issue continued on Thursday, with the DGEN gaining 39.05 points, or 0.67 per cent, to end the week at 5,847.25 points.
Of the total 266 issues traded in the week, 152 advanced, 106 declined, and eight remained unchanged.
United Commercial Bank Ltd topped the list
of turnover leaders of
the week with shares worth Tk 109.02 crore changing hands. The rest of the top-10 turnover leaders of the week were Lankabangla Finance, BEXIMCO, MI Cement Factory Limited, National Bank Ltd, City Bank Ltd, One Bank Ltd, Aftab Automobiles, AB Bank Ltd, and Pubali Bank Ltd.
Source : New Age
No comments:
Post a Comment