Stocks rebound on renewed buying interest

The country’s capital market bounced back on Monday, ending its recent corrective phase as renewed buying interest drove equities higher amid easing geopolitical concerns and optimism over corporate earnings.

The benchmark DSEX index of the Dhaka Stock Exchange (DSE) rose 55.4 points, or nearly one percent, to close at 5,840, recovering from the previous session’s close of 5,784.

Market sentiment improved throughout the trading session as investors accumulated heavyweight stocks, encouraged by a temporary pause in retaliatory actions in the Middle East and expectations of strong quarterly earnings from listed companies.

However, investors remained cautious due to persistent nationwide gas supply disruptions and concerns over the recent amendment to margin lending rules.

Turnover on the premier bourse increased by 11.7 percent to Tk 870crore, up from Tk 780 crore in the previous session, reflecting stronger trading activity.

The textile sector dominated turnover with a 22.8 per cent share, followed by pharmaceuticals at 12.4 percent and engineering at 11.1 per cent.

Most sectors ended higher, with jute and mutual funds each advancing 3.3 percent, while the travel sector gained 2.4 percent.

Out of 396 issues traded, 297 advanced, 52 declined and 47 remained unchanged, indicating broad-based market participation.

Meanwhile, the Chittagong Stock Exchange (CSE) also recorded gains in its indices, with the CSCX rising 72.5 points and the CASPI advancing 125.8 points.