Stocks gain for 3rd day on MPS hopes

Image: Bizbangladesh.net
Dhaka stocks increased for the third day on Monday as investors continued buying shares amid expectations that the monetary policy statement (MPS) to be declared by Bangladesh Bank tomorrow would be capital market friendly.

DSEX, the key index of Dhaka Stock Exchange, gained 0.52 per cent, or 26.81 points, to close at 5,160.74 points on Monday. The index increased by 83.44 points in last three sessions.

The market began to gain from the very beginning of Monday’s session and increased more firmly in late trading to finish the session with a moderate rise as investors continued buying shares amid expectations concerning the MPS, market operators said.

The central bank will announce the MPS for the first half (July-December) of the current financial year (2019-20).

Market operators said some investors also continued buying shares on the cheap after the recent plunges in share prices of most of the companies.

The relentless fall pushed the market to a 31-month low on July 22 as investors were grappling with financial sector woes including liquidity crisis and People’s Leasing and Financial Services’ liquidation move, and Grameenphone’s tussle with the Bangladesh Telecommunication and Regulatory Commission over audit claim.

The share prices of Bangladesh Welding Electrodes on Monday surged by 9.66 per cent — the maximum level allowed under the circuit breaker — as Alif Group would buy shares in the company.

The Investment Corporation of Bangladesh, a major shareholder of Bangladesh Welding Electrodes, has decided to sell off its holdings of 1.08 crore shares in the company to Alif Group, subject to approval of the Bangladesh Securities and Exchange Commission.

The average share prices of textile sector advanced by 2.10 per cent, general insurance 1.87 per cent, telecommunication 0.97 per cent and pharmaceutical 0.62 per cent.

On the other hand, mutual fund, energy and bank sectors dropped by 1.80 per cent, 0.70 per cent and 0.67 per cent respectively.

Out of the 353 scrips traded on Monday, 242 advanced, 93 declined and 18 remained unchanged.

Turnover on the bourse increased to Tk 437.77 crore on Monday from Tk 406.00 crore in the previous session.

DS30, the blue-chip index of DSE, advanced by 0.25 per cent, or 4.75 points, to close at 1,844.29 points.

DSE Shariah index DSES added 0.85 per cent, or 10.04 points, to close at 1,186.52 points.

Fortune Shoes led the turnover chart with its shares worth Tk 19.37 crore changing hands.

United Power Generation Company, Bangladesh Shipping Corporation, Square Pharmaceuticals, Monno Ceramics, Singer Bangladesh, United Insurance, JMI Syringe, Bangladesh Submarine Cables Company and Beacon Pharmaceuticals were the other turnover leaders.

Desh Garments gained the most on the day with a 9.97-per cent increase in its share prices while Vanguard AML Rupali Bank Balanced Fund was the worst loser, shedding 9.27 per cent.  
Source: http://www.newagebd.net

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