Staff Reporter :
The main index of the Dhaka Stock Exchange (DSEX) increased by 58.5 points and the Chittagong Stock Exchange index increased by 62.2 points on Wednesday after eight consecutive working days of index decline.
The two bourses turned around after the DSE Brokers Association of Bangladesh (DBA) meeting on Tuesday.
The DSE Brokers Association of Bangladesh (DBA) held a meeting to get out of the continuous decline in the capital market, where the investors were informed that the floor price would not be given again.
Earlier, there were rumors in the capital market that the regulatory body was going to impose a floor price again in the ongoing recession.
After the meeting, DBA leaders said the rumors in the market that the floor price may be imposed again on the share price are completely false and baseless.
DBA does not think that there will be a recurrence of the floor price.
Market analysts say, after such a statement, new investments came into the capital market on Wednesday.
And investors remained confident in the stock market and refrained from selling shares.
As a result, DSEX, the broad index of the Dhaka Stock Exchange, slightly recovered from the recent plunge, adding 58.5 points and settling at 5,873 points as against 5,814 points in the previous trading session.
The blue-chip index DS30 rises 0.60 per cent, the Shariah-based index DSES rises 0.72 per cent, and the large-cap index CDSET 0.35 per cent closed at 2,032.28, 1,277.57, and 1,109.25 points, respectively.
The capital bourse clutched the free fall, with the majority of scrips rebounding from their prolonged losing streak as some opportunist investors came up to take positions on low-priced scrips owing to positive expectations from the DBA’s meeting regarding the current state of the stock market, Said the EBL Securities, in its daily market review.
The indices followed an uptrend throughout the session as buyers remained predominant across the trading floor since opportunistic investors sought bargain hunting opportunities following the consecutive corrections in the market, it’s added.
However, overall market confidence is yet to rebound since there is no major trigger for the market to bounce back from the prolonged bearish sentiment. Meanwhile, market turnover decreased by 9.2 percent to Tk 422 crore as against Tk 465 crore in the previous session.
All the large-cap sectors posted positive performance today. NBFI booked the highest gain of 1.86 per cent followed by Bank 1.13 per cent, Engineering 1.12 per cent, Fuel & Power 0.54 per cent, Pharmaceutical 0.48 per cent, and Food & Allied 0.13 per cent, respectively.
Block trades contributed 6.7 percent of the overall market turnover. Orion Infusion Ltd. 6.9 percent was the most traded share with a turnover of Tk 21.8 crore.
On the sectoral front, Pharma 20.5 per cent issues exerted the highest turnover, followed by Engineering (14.6%) and Textile 10.6 per cent sectors.
Almost all the sectors displayed positive returns, out of which Travel 5.9 per cent, Ceramic 5.4 per cent and Paper 3.1 per cent exhibited the most positive returns on the bourse Wednesday, while only Telecom 1.9 per cent exerted marginal corrections.
Out of the 391 issues traded, 305 advanced, 42 declined and 44 remained unchanged.