Stocks fall for second day

Shares on Dhaka Stock Exchange (DSE) declined for a second consecutive day yesterday as nervous investors continued to clear their portfolios of scrips which account for large amounts in market capitalisation owing to the market's gloomy outlooks.

Market capitalisation refers to the total value of a company's outstanding shares of stock.

Price corrections were witnessed by the most prominent of companies including Renata, British American Tobacco Bangladesh Company, Pubali Bank, City Bank, Robi Axiata, Al-Arafah Islami Bank, Grameenphone and BRAC Bank.

Market movement was driven by negative changes in the market capitalisation of travel and leisure, paper and printing, and life insurance scrips, said Shanta Securities in its daily market update.

There were also positive changes in the market capitalisation of food and allied, engineering, and telecommunication scrips, it said.

Central Pharmaceuticals topped the turnover list with 4.81 percent, followed by Shinepukur Ceramics (3.13 percent), Malek Spinning Mills (0.54 percent) and Asiatic Laboratories (6.34 percent).

The DSEX, the benchmark index of the prime bourse of Bangladesh, shed 22.98 points, or 0.40 percent, from that on the day before to close at 5,738.39.

Similarly, the DSES, the index that represents Shariah-compliant firms, dropped 6.31 points, or 0.50 percent, to 1,245.33.

Meanwhile, the DS30, which comprises blue-chip stocks, slipped 5.61 points, or 0.27 percent to 2,001.72.

Turnover, which indicates the volume of shares traded during the session, stood at Tk 367.6 crore, a decrease of 21.58 percent from the previous session.

The market closed in the negative with a decrease in turnover, according to the market update by UCB Stock Brokerage.

Engineering, food and allied and telecom sectors closed in the positive while travel and leisure, paper and printing and life insurance sectors closed in the negative.

Pharmaceuticals dominated the turnover chart, accounting for 17.85 percent of the total turnover of the market.

Total turnover of block trade, meaning large, privately negotiated securities transactions, stood at Tk 29.6 crore, representing 8.1 percent of the day's total turnover.

Of the issues that were traded on the DSE, 79 advanced, 268 declined, and 43 did not see any price fluctuation.

In a market update, BRAC EPL Stock Brokerage said the market closed in the red yesterday where sectors which account for large amounts in market capitalisation posted a mixed performance.

Engineering booked the highest gain of 1.30 percent, followed by food and allied (0.70 percent), telecommunication (0.45 percent), bank (0.02 percent), pharmaceuticals (0.27 percent), fuel and power (0.35 percent), and non-bank financial institutions (1.46 percent).

AB Bank 1st Mutual Fund took the pole position of the gainers' list with a rise of 6.98 percent, followed closely by Asiatic Laboratories with 6.34 percent.

Jute Spinners, Uttara Finance and Investments, Pragati Insurance and Apex Tannery followed suit with 5.46 percent, 5.06 percent, 4.29 percent, and 4.26 percent respectively.

The gainers' chart also included S Alam Cold Rolled Steels (3.83 percent), National Tea Company (3.52 percent), Walton Hi-Tech Industries (3.43 percent) and Bangladesh Industrial Finance Company (3.13 percent).

Ratanpur Steel Re-Rolling Mills shed the most, losing 6.04 percent.

This list included Deshbandhu Polymer, Bangladesh Thai Aluminium, Central Pharmaceuticals, Northern Islami Insurance, Fu-Wang Foods, Safko Spinning Mills, Padma Islami Life Insurance, Sea Pearl Beach Resort & Spa and Sonali Paper and Board Mills.

Chittagong Stock Exchange (CSE) witnessed a similar trend as the Caspi, the main index of the port city bourse, went down by 74 points, or 0.45 percent, to close at 16,437.