Floor price lifted for 23 more scrips as stocks bounce back

The stock market regulator today lifted the floor price for 23 more securities, as the key stock index bounced back recovering from the losses it had suffered on Sunday amid investor nervousness following removal of the minimum price for most of the listed companies.

The artificial price measure was imposed on July 28 in 2022 to curb the fall in share prices, prevent losses of small investors and reduced corporate profits amid the country's lingering economic challenges.

The floor price will now be applicable for 12 listed companies out of 349 firms and mutual funds.

The Bangladesh Securities and Exchange Commission (BSEC) removed the floor prices on January 18 except for 35 stocks in order to bring back vibrancy in the market, which suffered a 'bear run' for a long time.

As such, the DSEX, the benchmark index at the main bourse Dhaka Stock Exchange, dropped 1.52 percent Sunday, the first trading session following removal of the price restrictions.

Today, the DSEX recovered and closed 6254.30, gaining 14 points or 0.22 percent from the previous day.

Turnover, which reflects the flow of liquidity in the market, stood at Tk 1042 crore on the DSE, highest since July 18 of 2023, amid increased participation of investors.

The BSEC, in its order issued in the evening, said the upper limit of the circuit breaker will be applicable for all the securities other than 12, according to the order issued on June 17 of 2021.

The regulator said the floor price will be active for Anwar Galvanizing Ltd, British American Tobacco Bangladesh, BEXIMCO, BSRM Ltd, Grameenphone Ltd, Islami Bank Bangladesh Ltd, Khulna Power Company Limited, Meghna Petroleum Ltd, Orion Pharma Ltd, Renata Ltd, Robi and Shahjibazar Power Co Ltd.