Stocks in Dhaka extended their losing streak as sharp price falls in large-cap shares intensified selling pressure. The DSEX, the broad index of the Dhaka Stock Exchange (DSE), lost 39.6 points to settle at 5,379 points, compared with 5,419 points in the previous trading session. The market witnessed active trading by both buyers and sellers in the early hours, but the recovery attempt quickly faded as investors stepped up selling of large-cap stocks.
The sell-off continued until the close, dragging the indices lower and highlighting continued weakness in the market. The broad-based selling was reflected in the day's trading, with 296 of the 395 issues traded declining, while 54 advanced and 45 remained unchanged. Market turnover also declined 14.8 percent to Tk 4.8 billion from Tk 5.7 billion in the previous session.
On the sectoral front, Textiles accounted for the highest share of turnover at 25.4 percent, followed by General Insurance at 15.0 percent and Bank at 13.4 percent. Most sectors posted negative returns, with Mutual Fund falling 3.5 percent, Life Insurance 3.2 percent and Miscellaneous 2.7 percent. Travel and Bank posted marginal gains of 0.6 percent and 0.2 percent respectively.
The port city bourse, Chittagong Stock Exchange (CSE), also ended in negative territory, with its selected index CSCX losing 84.7 points and the All Share Price Index (CASPI) declining 162.0 points. The persistent selling pressure and declining market turnover indicate a lack of investor confidence and continued downward pressure on stock prices.
The sharp drop in large-cap shares has broader implications for the market, as these stocks often serve as benchmarks and indicators of overall market health. The decline in these shares can trigger a ripple effect, leading to increased selling across various sectors. Investors are likely to remain cautious until there are clear signs of market stabilization and renewed confidence among buyers.
