Market Surges 82 Points: Stocks rebound investors’ confidence

Muhammad Ayub Ali:

After months of sluggish trading and declining, Bangladesh’s stock market made a bouncing back on Monday, with the DSEX index of the Dhaka Stock Exchange (DSE) rising by 82.09 points to reach 4,976.16 – the highest point in the last two months.

This marks the largest single-day gain since August 2024, igniting fresh optimism among investors.
In the last time the market witnessed a similar rally was in August 2024, following the assumption of power by the interim government.

On August 8, the DSEX soared by a record 306 points, the biggest gain since the index’s inception in 2013. That momentum continued briefly, with a 91-point gain on August 11, but since then, the market had remained largely subdued.

Today’s rise breaks that 11-month quiet streak and signals growing confidence in the economy and market outlook.

Sharp Jump in Trading Activity

Alongside the index rise, trading activity also surged. A total of Tk 573.46 crore worth of shares changed hands on the DSE, marking the second-highest turnover in over two months, just behind Tk 584.2 crore traded on May 5.
Compared to the previous session’s turnover of Tk 506.16 crore, today’s figure reflects a sharp increase of over Tk 67 crore, or 13.3 percent, suggesting increased market liquidity and renewed participation from investors.

A total of of 396 listed companies traded today where 378 gained in price, 73 declined and 45 remained unchanged.

This strong market breadth reflects broad-based buying interest across sectors.

Banking Sector Leads the Rally
A key driver of today’s surge was the banking sector, which has seen a dramatic reversal. Once plagued by a buyer crisis, bank stocks are now facing a seller shortage. Several banks, including Rupali Bank, Exim Bank, and First Security Islami Bank, hit upper price limits with no sellers available – a rare situation that underscores investor confidence in the sector’s future. This shift likely reflects expectations of financial reform and stronger earnings recovery.

Gains Extend to CSE
The Chittagong Stock Exchange (CSE) mirrored the DSE’s bullish trend. The CASPI index climbed 184.15 points to 13,812.20, with turnover doubling to Tk 46.6 crore, up from Tk 21.45 crore the day before. Out of 228 traded companies, 154 advanced, 47 declined, and 27 remained unchanged.

Analysts believe today’s rally could mark the beginning of a broader recovery, driven by increased liquidity, policy stability, and investor optimism.

If this momentum continues, the market could soon reclaim higher ground, bringing long-awaited relief to investors after a year of dormancy.