Stocks had a strong week, with the benchmark index reaching over 5,300 points, driven by large-cap stocks. Market experts noted that multinational and blue-chip stocks saw buying momentum after hitting a historic low earlier this year. Investors were encouraged by IMF loans and the continued provision for money-whitening facilities in the budget.
Throughout the week, buyers were in control, with catalysts such as the approval of the third tranche of IMF loan and tax rebates from secondary market investments. Large-cap stocks saw significant price increases, helping the market stay afloat.
The DSEX index of the Dhaka Stock Exchange (DSE) surged 111 points to settle at 5,355, with notable gains in blue-chip stocks like Renata, Square Pharma, Beximco Pharma, Grameenphone, and LafargeHolcim. Renata’s stock rose 14% following news of new drug shipments to the UK market and a loan agreement with IFC.
Square Pharma, Beximco Pharma, and Grameenphone also saw substantial gains, contributing to the market rally. According to experts, institutional investors are showing interest in multinational and blue-chip stocks, which had become more affordable after recent corrections.
The DS30 and DSES indices also saw positive movements, with sectors like engineering, cement, telecom, and life insurance performing well. Turnover for the week stood at Tk 28 billion, with pharmaceuticals, food, and textile sectors dominating trading.
Most stocks saw price increases, with 300 closing higher out of 396 issues traded on the DSE floor. Unilever Consumer Care was the most-traded stock, followed by Sea Pearl Beach Resorts, Pragati Life Insurance, Linde Bangladesh, and Beach Hatchery.
The Chittagong Stock Exchange (CSE) also ended higher, with the CASPI and CSCX indices showing significant gains. DailyBubble believes that the positive performance of large-cap stocks and sectors reflects a growing confidence in the market among investors.