Buying appetite in the stock market appeared to return on the first day of the full trading session after more than three and a half months on Wednesday.
DSEX, the broad-based benchmark at the Dhaka Stock Exchange (DSE), gained 33 points or 0.82 percent to close at 4,034, while the blue-chip index DS30 also had a steady intraday rally to rise 0.81 percent.
Turnover at the premier bourse crossed Tk231 crore, which was below Tk139 crore in the previous 3-hour session.
Investors' key appetite was concentrated in insurance and banking stocks along with some selective stocks from other sectors.
Market professionals said the securities regulator's hard stance on ensuring a 2 percent shareholding by each director of listed companies had a positive impact on stock price.
Also, the regulatory initiatives to increase fund injection from the banking industry has helped demand to see a moderate rise.
The Bangladesh Securities and Exchange Commission (BSEC), in cooperation with the Bangladesh Bank is also inspiring banks to buy stocks at a price level lowest in years.
Meanwhile, the central bank on Tuesday said if foreign investors reinvest their dividends here in Bangladesh, that would be treated as further foreign investment.
The combined effect of all these in a new regulatory regime has helped to increase investor confidence.
At the end of the session, the general insurance sector gained 2.7 percent while the life insurance companies witnessed a 2.1 percent capital gain on average.
Insurance directors dominated the list of non-compliant directors who must buy their own company stocks from the market in 45 working days to remain on board.
Banking stocks, grounded by tons of problems, have gained 1.3 percent.
Investors were most active in pharmaceuticals and chemical stocks, followed by banks, general insurance, fuel and power, miscellaneous, textile, life insurance, telecom, engineering and mutual fund sectors.
Floor mechanism which does not allow share prices to go below a certain level is still hindering trade in the majority of scrips as there barely are spontaneous buyers at the current price level.
Out of 342 issues traded in the Dhaka Stock Exchange on Wednesday, 101 issues advanced, 23 issues declined and 218 issues remained unchanged.
The Chittagong Stock Exchange also registered an upward trend over the session. CSCX, the broad-based index there, gained 0.72 percent to close at 6,933.
Daily turnover at the port city bourse increased to Tk5.22 crore from 3.59 crore.