Stock markets extended losses amid choppy trading yesterday, as concern over the current political unrest was rising.
The market moved between negative and positive throughout the entire session but bears beat bulls at the end of the day.
The benchmark index DSEX lost over 14 points or 0.4% to close at 4,681, extending its losing streak for the fourth straight session.
The Shariah Index DSES dropped marginally 4 points 0.4% to 1,111. The comprising blue chips DS30 was down 11 points or 0.7% to 1,737.
Chittagong Stock Exchange (CSE) Selective Categories Index, CSCX, settled at 8,722, rising only 1 point.
Investors seemed to ignore some good dividends declared by banks due to political risk, said a stock broker. “Most investors dared not to bet on stocks for long term as still there is no sign of political settlement.”
Like previous sessions, trading activity remained downbeat. Turnover at the Dhaka Stock Exchange was only Tk221 crore, which was Tk220 crore in the previous session.
Cement were the worst sufferers falling more than 2%, breaking previous day’s rally. Telecommunication, food & allied, banks and non-banking financial institutions continued to decline.
A few of the sectors, including textile and engineering, closed marginally higher.
Lanka Bangla Securities said the market extended losses amid choppy trading. “As fear-casting political events have left the city dwellers breathless at this moment, we have seen its impact on capital market,” it said.
It said selling pressure continued to fade out the possible positive impact of corporate declarations of financial stocks.
SPCL topped the turnover list followed by LAFSURCEML, GP, SAPORTL and SIBL.
IDLC Investments said slow bleeding continued causing painful erosion in investors’ capital.
It said resultantly, chronic depression eclipsed market sentiment turning participants reluctant to take further moves. “Many investors deviated from the fundamental path, leaving large cap that shed 0.8% to test their luck in micro cap that slipped 0.4%.
