Stocks inch up amid increased volatility, turnover declines

Stocks inched up in the seventh session of their recent legs of recovery.

However, the intraday volatility amid investors' increased concern about a fresh selling pressure following the recent spike in Covid-19 infection rates caused a 10% decline in the daily turnover in the Dhaka Stock Exchange (DSE).

It declined to Tk1,182 crore from that of Tk1,314 crore on Monday.

Absorbing all the intraday dips, DSEX, the broad-based index of the Dhaka bourse, hit the intraday peak of 6,900 mark before the close and finally it closed at 6,893, which was 0.16% higher than the previous close.

EBL Securities wrote in its daily market commentary, the recent increase in the Covid-19 positivity rates might raise investors' concerns about the performance of the DSE ahead.

Amid serious investors' caution, the blue-chip index DS30 declined 0.19%, while Shairah Index DSES increased by 0.33%.

Out of the 378 issues traded, 167 advanced, 180 declined, and 31 remained unchanged in the DSE.

The miscellaneous sector contributed the maximum 16.2% to the DSE turnover on Tuesday, while pharmaceuticals-chemicals, and general insurance followed with 12.2% and 9.8% turnover contribution respectively.

Life insurance led the green table of sectors with 3.5% expansion in market capitalisation.

Cement and IT followed life insurers with 2.5% and 1.2% gains in market capitalisation respectively.

On the other hand, travel and leisure, miscellaneous, and food-allied sectors led the sectoral correction table.   

Indices in the Chittagong Stock Exchange closed slightly lower, while turnover in the port city bourse increased to Tk35.7 crore from Tk28.7 crore in the previous session.