Stock index hits 22-month high

The Daily Star  January 12, 2021

Fuelled by increased demand in cement, telecom and pharma sectors
Star Business Report

The key index of the Dhaka bourse yesterday crossed 5,700 points for the first time in 22 months thanks to increased demand in the cement, telecom and pharmaceuticals sectors.

DSEX, the benchmark index of the Dhaka Stock Exchange (DSE), rose 84.70 points, or 1.50 per cent, to 5,718.

This is because investors, who had been making profits for the last few days, are pouring fresh funds into the market, according to a stock broker. “Some were still collecting profits which is why most of the stocks fell,” he said.

Among the 360 stocks traded at the DSE, 128 advanced, 180 dropped and 52 remained the same.

“People think that the telecom sector has huge potential for the coming years but their stock prices are still at a low level. So, the sector’s stocks were rising,” the broker added.

Investors think that the pharmaceuticals sector will perform better in the coming years, so the sector has been their top demand for the last few days, a merchant banker said.

“Meanwhile, banks and non-bank financial institutions (NBFI) are going to announce dividends so these were also liquid sectors,” he added.

The pharmaceuticals sector accounted for around Tk 268 crore, or 16 per cent of the total turnover, yesterday while it was Tk 186 crore in the NBFI sector, according to data from UCB Capital Management.

Alltex Industries topped the gainers’ list, rising 10 per cent followed by Beximco, Paramount Insurance, Robi Axiata and Bangladesh Steel Re-Rolling Mills.

Beximco traded the most with Tk 165 crore worth of stocks having changed hands followed by Beximco Pharmaceuticals, LankaBangla Finance, LafargeHolcim Bangladesh and IFIC Bank.

Sonali Ansh shed the most, losing 7.15 per cent followed by Olympic Accessories, First Finance, Vanguard AML Rupali Bank Balanced Fund and Prime Bank.

The Chittagong Stock Exchange (CSE) also rose yesterday. CASPI, the general index of the port city bourse, rose 277 points, or 1.69 per cent, to stand at 16,665.

Of the 290 stocks traded at the CSE, 108 rose, 147 fell and 35 remained unchanged.

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