Bangladesh: Dhaka stocks dip for 4th day as large investors remain inactive

Dhaka, July 7, 2014 (New Age): Dhaka stocks declined for the forth trading session on Sunday with the turnover hitting one-and-half month low as the institutional investors were waiting to buy shares at cheap after year closing shares sell-offs. The key index of the Dhaka Stock Exchange, DSEX, closed at 4,411.15 points, shedding 0.56 per cent or 25.05 points. Turnover of the DSE declined to Tk 215.19 crore compared with Tk 261.85 crore in the previous trading session. Sunday’s turnover was lowest after Tk 182.81 crore on May 25. Market operators said that despite investors’ optimism after the budget revision by the government, the market continued to decline due to institutional investors’ June closing share sell-offs. After the half yearly closing on June 30, the institutional investors are yet to restore their participation on the trading floor as they are waiting to avail shares at more cheap price, operators said. Following the institutional investors’ slow approach, the overall market was suffering from dullness which resulted in significant decline in turnover, they said. If the institutional investors increase their participation on the trading floor that might help to boost retail investors’ activity on the trading floor, operators said. ‘Sequentially absorbing the downhill of 69 points in last tri-session of new FY, prime index DSEX closed at 4,411 points, IDLC Investments said in its daily market commentary. ‘The continued losing streak dwindled market confidence, keeping investors in meticulous positioning,’ it said. ‘Meanwhile, expectations on half-yearly earnings and upcoming MPS for July-Dec started reviving amid investors.’ ‘Basing on these, investors prompted balancing their portfolio,’ said IDLC. DS30, the blue-chip index of the bourse, declined to 1,612.23 points, sleeping 0.59 per cent or 9.63 points. The Shariah index of the bourse, DSES, fell by 0.51 per cent, or 5.13 points, to finish at 997.77 points. Of the 286 shares and mutual funds traded on the day, 81 advanced, 159 declined and 46 remained unchanged. BEXIMCO led the turnover chart as its shares worth Tk 18.17 crore changed hands. Appollo Ispat Complex, Generation Next Fashions, Grameenphone, Peninsula Chittagong, Lafarge Surma Cement, Bangladesh Building Systems, Familytex BD, Aftab Automobiles and United Airways were among other turnover leaders. BD Thai Aluminium gained the most with 9.30 per cent increase in shares prices, while National Life Insurance was the worst loser of the day shedding 27.51 per cent.