Dhaka Stock Exchange (DSE), the country’s principal bourse, concluded the previous year amidst a mixed index performance.
The first week of the new year saw an increase in transactions by Tk218 crore, accompanied by a rise in market capitalisation by Tk2,791 crore, as revealed by the weekly market update report.
Market analysts observed that the new year commenced with an upward trend in indices, although the following day experienced an 18-point decline.
Meanwhile, DSE, could not start trading on time on Sunday (5 January).
The DSE website said that trading could not start on time today "due to unavoidable circumstances."
Investors had been unsettled even before the year’s onset due to the absence of positive news from the regulatory authorities or interim government regarding the stock market, a sentiment that persists.
Bangladesh Capital Market Investors’ Association President ANM Ataullah Naeem remarked to the press that without encouraging news for the stock market, investors are unlikely to be enthused about making new investments.
He highlighted that following the events of 5 August, the state-owned Investment Corporation of Bangladesh (ICB) was allocated Tk3,000 crore at a low-interest rate, but no guidelines were provided on how this sum should be invested.
Naeem further commented that although the Bangladesh Securities and Exchange Commission (BSEC) has been issuing penalties through commission meetings, no new company approvals have been granted in the past four months, leaving investors without fresh investment options.
He also noted the lack of initiatives from the BSEC to encourage institutional investors to inject new capital into the market, resulting in a dearth of market-friendly measures at the beginning of the new year.
Despite the fluctuations in indices, the DSE witnessed increased trading last week.
Total transactions for the week amounted to Tk1,392 crore, up from Tk1,174 crore the previous week, marking a Tk218 crore increase.
DSE’s market capitalisation rose by 0.42% or Tk2,791 crore over the week, reaching Tk6,62,951 crore by the end of the trading week, compared to Tk6,60,160 crore at the close of the prior week.
The main price index, DSEX, increased by 15.17 points or 0.29% last week, following a 37.12-point or 0.71% decline the week before. Prior to that, the index had risen by 116.14 points or 2.27%.
In addition to the main index, the DS30 index, which comprises selected blue-chip companies, also saw an increase of 3.69 points or 0.19% over the week.
The previous week had recorded an 11.02-point or 0.57% decline, preceded by a 56.40-point or 3% rise.
Conversely, the DSE Shariah Index, comprising companies that adhere to Islamic Shariah principles, declined by 11.54 points or 0.99% over the week, following a 0.72-point or 0.06% drop the week before, which had been preceded by a 27.31-point or 2.40% increase.
Average daily transaction at the DSE rose by Tk54.59 crore or 18.59% last week.
The average daily transaction for the week stood at Tk348.12 crore, compared to Tk293.53 crore the previous week.
Throughout the week, 396 company shares and mutual fund units were traded on the DSE.
Among these, prices increased for 164 companies, decreased for 182, and remained unchanged for 50.
Despite the challenging market conditions, weak companies dominated the list of top gainers.
Among the top ten gainers, five were from the "Z" category, which comprises companies unable to pay dividends to investors.
Western Marine Shipyard, which has not paid dividends since 2020, emerged as the top gainer last week, drawing significant interest from a segment of investors.
Other notable gainers among the top ten included Legacy Footwear, which rose by 15.85%, Rupali Bank by 14.55%, Mercantile Insurance by 13.33%, Hami Industries by 12.90%, Shepherd Industries by 12.22%, S Alam Cold Rolled Steels by 11.34%, and One Bank by 10.84%.
