Stocks ended flat amid volatile trade yesterday, a day after marginal fall on profit booking.
The market moved between negative and positive with intra-day volatility hitting around 40 points, as investors switched off their portfolios.
The benchmark DSEX index rose nearly 2 points or 0.04% to end at 4,811, pulled up by mainly multi-national companies that shined on the day.
Shariah-based DSES index edged almost 3 points or 0.3% higher to 982.The blue-chip comprising DS30 index witnessed fractional gain of 0.06 points to 1,663.
The Chittagong Stock Exchange Selective Category Index, CSCX, was down 11 points to close at 9,443.
The total turnover at DSE further dipped to Tk620 crore, which was almost 20% lower over the previous session.
“Market rebounded after a small correction in the previous session, but the trading pattern remained mixed,” said Lanka Bangla Securities in its market analysis.
In the mid-session, sellers rushed to book profit on large cap stocks, however, buyers exerted strong force in last hour, with the index reverting to green, it said.
It said finance division has expressed its intension to minimise the government interest payment through borrowing less from long term financing source and more from mid-term sources.
And they suggested focusing more on external debt which is cheaper. It may unfold a downward pressure on internal interest rates and bring down the yield rate. High liquidity in the banking system is also indicating downward moving interest rate. “This would benefit businesses those are experiencing higher interest expense and the equity market as investors search for higher yield,” it said.
Among the major sectors, food and allied sector continued to rally over the several sessions. The sector rose 3.6%, led by multinational company BATBC that continued to surge.
Pharmaceuticals and power went up marginally by 1.8% and 0.3% respectively. The gains posted by these sectors were offset by the correction in telecommunications, non-banking financial institutions and banks.
Out of 293 issues traded, 110 closed higher, 153 declined and 30 remained unchanged.
Jamuna Oil, the lone state-owned oil distribution company, was the most traded stocks with a turnover of almost Tk31 crore, followed by Meghna Petroleum , Generation Next, Square Pharmaceuticals, Grameenphone, Bangladesh Submarine Cable Company Ltd, Padma Oil and Appollo Ispat.
