Dhaka stocks rebounded on Tuesday after plunging for four consecutive sessions, as a section of investors went for buying shares amid regulatory efforts to improve the market condition, market operators said.
DSEX, the key index of the Dhaka Stock Exchange, increased by 2.43 per cent, or 118.80 points, to stand at 5,017.32 points on the day.
In the previous four sessions, the key index lost a total of 343.52 points, and stood at 4,898.52 points on Monday, marking its lowest level since December 1, 2020.
The Dhaka bourse has been on a continuous bearish trend in the past few months.
Since October 1, the DSEX lost a total of 568.96 points.
Saiful Islam, president of the DSE Brokers Association of Bangladesh, said that the market bounced back after a long fall and it was expected.
鈥楾he reason for low participation of investors is a liquidity crisis on the market. With the interest rate raised, investors are looking for alternative investment options for more profits,鈥� he added.
A section of investors staged demonstrations in the capital Dhaka in the past few days against the continued fall in share prices and demanded a stable market.
The BSEC on Sunday formed a four-member inquiry committee to investigate the reasons behind the unusual and suspicious market fall.
The four committee members are BSEC additional director Mohammad Shamsur
Rahman, deputy director Muhammad Oarisul Hasan Rifat, DSE assistant general manager Mahfuzur Rahman, and Central Depository Bangladesh Limited assistant general manager Kazi Minhaz Uddin.
The BSEC has also been conducting discussions with various stakeholders of the capital market about the market development and reforms.
The stock market regulator met with representatives of the Institute of Chartered Accountants of Bangladesh on Tuesday and discuss the market development, role and responsibility of the auditors, existing crises, obstacles and actions in the audit programme.
The DSE on Tuesday held a meeting with top merchant banks and asset management companies, and discussed a number of things, including increasing investors鈥� confidence in the market, coordination between regulatory agencies, increasing exposure of the parent bank to the capital market for the bank鈥檚 subsidiaries to solve the liquidity crisis, and reform of direct listing rules.