Stocks keep gaining
The currency markets continued to go up for the next consecutive day yesterday because of the higher participation of investors, who came in large numbers to take benefit for the low and profitable prices of shares.
The DSEX, the benchmark index of the Dhaka Stock Exchange (DSE), surged by 70 points, or 1.35 %, to 5,258.50.
The positive start of the evening gave a boost to the investors' psychology, said Mohammad Nazrul Islam, ceo of MTB Securities.
Alternatively, investors took a lesson from last year, when most of them sold-off shares, pushing the index downwards to around the 3,900 level at the same time when Covid-19 was spreading in the united states.
"The index bounced again after a few months. This season, they are retaining shares before shutting off the trade. We are able to say the recognition programmes are working this time which learning will come to be fruitful in the days to come," Islam explained.
"I hope investors will not sell shares at a lesser price anymore like they did this past year due to panic and incur losses," he added.
Islam went on to state that banks are giving handsome dividends.
"So, buying banking stocks is extra profitable at present in comparison to keeping in banks as deposits," he explained.
Eastern Bank announced 17.5 per cent cash and 17.5 % stock dividends, Brac Bank 10 per cent cash and 5 % stock dividends and Mercantile Bank will probably provide 10 % cash and 5 per cent stock dividends.
Jamuna Bank's board also declared 17.5 per cent cash dividend.
The costs of banking shares are incredibly low even though they are declaring high dividends, said an official of MTB Securities.
A top official of the Bangladesh Securities and Exchange Commission confirmed yesterday that the stock market will remain open if banking institutions remain open amid the upcoming constraints on movement.
"We can just keep the market open if banks remain open up as we have to execute money transfers through them," he added.
Dhaka Insurance topped the gainers' list, rising 9.97 per cent, accompanied by Crystal Insurance, Express Insurance, BD Thai Aluminium and CAPM IBBL Mutual Fund.
Stocks and shares of Beximco Ltd traded the most with Tk 40 crore followed by BD Financing, Robi Axiata, Central Insurance and Continental Insurance.
Premier Lender shed the most, dropping 15 % accompanied by Familytex BD, Libra Infusion, Advent Pharmaceuticals and RSRM Metal.
At the DSE, 228 shares advanced, 63 declined and 56 remained unchanged.
The Chittagong Stock Exchange also gained yesterday. The CASPI, the overall index of the port town bourse, rose 185 points, or 1.23 %, to stand at 15,194.
Among 214 traded stocks, 124 rose, 62 fell and 28 remained unchanged, CSE data shows.
