A depressing week for stock market investors

Equity investors saw further declines in major indices as many listed companies reported lackluster results releases for the first quarter of the current financial year 2024-25.

The DSEX, the benchmark index of the Dhaka Stock Exchange (DSE), fell 91 points, or 1.76 percent, to 5,105 in a span of a week.

The index had also fallen the previous week.

The DS30, the blue-chip index, fell 30 points, or 1.57 percent, to 1,881 last week.

At the same time, the DSES, the index of sharia-based businesses, fell 24 points, or 2.06 percent, to 1,140.

Stock analysts attributed the downward trend to political uncertainty. Nationwide unrest between July and August and internet shutdowns led to prolonged disruption of business activities, affecting listed companies.

According to data compiled by Sandhani Asset Management, listed companies saw their collective profit fall by more than 3% year-on-year in the July-September quarter.

Companies have released their results in recent weeks, but there is a lack of buyers for their shares as their performance has been declining. The DSE’s average daily turnover fell 27 per cent to Tk 322 crore last week.

Of the scrips that changed hands, 76 advanced, 23 remained unchanged, 293 declined, and 21 were not traded.

Among all major sectors, paper and printing, financial institutions and mutual funds fell more than 4 percent on average, while the banking sector fell about 3 percent.

Miracle Industries rose about 28 percent, followed by HR Textiles and Associated Oxygen Ltd, both of which rose 17 percent.