Dhaka stocks fell again on Tuesday after witnessing gains for a single day in the previous session after a nine-day losing streak, as investors sought to book some profits in late trading and protect their funds due to their shaky confidence amid economic worries in the country, market operators said.
DSEX, the key index of the Dhaka Stock Exchange, decreased by 31.63 points, or 0.59 per cent, to close at 5,278.88 points on the day after gaining 59.66 points in the previous trading session.
In the past 11 sessions, the Dhaka bourse gained in only one session on Monday and lost the other 10 sessions.
The key index on Sunday had hit below the 5,300-point mark for the first time after 2021.
With the decreased activity of investors on Tuesday鈥檚 session, the total turnover of the Dhaka Stock Exchange was Tk聽440.72 crore on the day, while the total turnover in the previous session was Tk聽506.11 crore.
Market operators said that margin sales, or forced sale pressures at the brokerage houses were a key reason for the market鈥檚 recent continued downfall, also the news of National Board of Revenue鈥檚 possible move on imposing capital gain tax on individual investors further contributed to the negative vibe.
Forced selling or forced liquidation usually entails the involuntary sales of assets or securities to create liquidity.
Market operators noted that increasing economic concerns, including the ongoing reduction in foreign exchange reserves in the country had left a negative impression on investors.
They mentioned that investor confidence was further hit by the Bangladesh Bank鈥檚 decision to raise repo rates, which could result in higher interest rates in the money market.
They also said that the depreciation of the taka against the US dollar could exacerbate the market鈥檚 depressed condition.
In the past 14 weeks, the market moved forward in only three weeks.
Of the 394 issues traded on the day, 92 advanced, 265 declined and 37 remained unchanged.
The DSE Shariah index decreased by 7.63 points, or 0.65 per cent, to close at 1,152.55 points on Tuesday.
The DS30 index lost 13.92 points, or 0.73 per cent, to finish at 1,886.72 points.
On the sectoral front, pharmaceutical issues exerted the highest turnover, followed by bank and textile sectors.
EBL Securities in its daily commentary said, 鈥楽elling pressure dragged down the benchmark index due to the absence of any major positive trigger to sustain the positive vibe and led the benchmark index to settle in the losing territory following a single day of modest gains.鈥�
IFIC Bank topped the turnover chart on the day with its shares worth Tk聽21.39 crore changing hands.
eGeneration, Reliance One the first scheme of Reliance Insurance Mutual Fund, Alif Industries, Orion Pharma, Asiatic Laboratories, Beach Hatchery, Orion Infusion, Taufika Foods and Lovello Ice-cream, and British American Tobacco Bangladesh were the other turnover leaders.
