Most shares unchanged on Dhaka, Ctg bourses

Most shares on the Dhaka and Chittagong exchanges did not find buyers today as investors were worried that the markets would fall further amid deepening economic uncertainty at home and abroad.

The DSEX, the benchmark index of the Dhaka Stock Exchange (DSE), was almost unchanged, adding only 0.28 points, or 0.004 per cent, to close at 6,449.

The DS30, the index that consists of blue-chip companies, was down 0.17 per cent to 2,310, while the DSES, the Shariah-complaint index, fell 0.5 per cent to 1,415.

On the premier bourse, 73 stocks advanced, 80 declined, and 215 remained unchanged.

The trading was concentrated in some companies. And a majority of the rest of the companies were illiquid as none showed interest in buying them, said a top official of a stock brokerage firm.

"Investors apprehend that the markets are supposed to fall further owing to the worsening economic situation. The markets are not facing any major fall because of the floor price. So, investors are waiting for the withdrawal of the floor price."

In July, the Bangladesh Securities and Exchange Commission (BSEC) reintroduced the floor price to halt the free fall of the market amidst global economic uncertainties owing to the dragging war in Ukraine. 

Export earnings and remittance fell in September and the foreign exchange reserves also dropped, intensifying pressure on the economy of Bangladesh.

"If the reserves keep falling, the economy will witness another shock and the local currency may weaken further against the US dollar."

Yesterday, the Bangladesh Bureau of Statistics published the inflation figures for August and September.

It showed inflation rose 9.52 per cent in August before decelerating to 9.1 per cent in September.

Turnover, another important indicator of the market, dropped 28 per cent to Tk 1,010 crore on the DSE.

Bangladesh Industrial Finance Company topped the gainers' list, advancing 9.8 per cent. Bangladesh Wielding Electrodes, Sea Pearl Beach Resort & Spa, Apex Foods, and Bangladesh Monospool Paper Manufacturing rose more than 8 per cent.

Peninsula Chittagong suffered the highest correction, sliding almost 8 per cent. Navana CNG, Aftab Automobiles, Bashundhara Paper Mills, and Bangladesh Shipping Corporation declined more than 5 per cent.

"Shares on the DSE edged flat after a bumpy ride as risk-averse investors followed the wait-and-see approach due to a lack of clear direction," said International Leasing Securities Ltd, a brokerage house, in its daily market review.

"The ongoing economic turmoil fueled by higher inflation and the countrywide frequent load-shedding has created a confidence crisis among investors."

Among the sectors, paper rose 2.4 per cent and jute advanced 1.8 per cent. IT fell 0.4 per cent.

Investors' focus was mainly on the pharmaceuticals and paper sectors, which accounted for 21.3 and 13.1 per cent of the day's turnover, respectively. 

The Caspi, the all-share price index of the Chattogram Stock Exchange, was, however, down 38 points, or 0.2 per cent, to 19,011.

Of the issues that traded on the bourse in the port city, 38 advanced, 77 declined, and 103 did not show any price movement.