Stocks slide again as oil climbs
On Wednesday, Brent Crude was trading at $111 per barrel
The stock market failed to withhold the positive momentum it gained on Monday and Tuesday.
Investors are yet to regain their confidence after a sharp fall, said EBL Securities in its daily market commentary on Wednesday.
Analysts said resurging crude oil prices left local stock investors in mounting worries about the global commodity price hikes and the risk of inflation in the country.
The local stock indices faced a sharp fall on Thursday and Sunday as Brent Crude prices surged past $100 following the Russian invasion of Ukraine.
Following Brent Crude's pullback to below $100, and the securities regulator's assurance to be carefully reducing negative equity balances in the local capital market intermediary firms, the market began to recover on Monday.
But it appeared to have been lacking buyers' appetite since the first hour of Tuesday that continued till the end of Wednesday.
On Wednesday, Brent Crude was trading at $111 per barrel.
DSEX, the prime index of the Dhaka Stock Exchange (DSE), tumbled by 54.0 points or 0.8% to settle at 6,700 on Wednesday.
As the market behaved adversely, many investors remained on the sideline and daily turnover on the DSE came down to Tk656 crore, the lowest since April 2021.
Out of the 384 issues traded, 58 advanced, 288 declined, and 38 remained unchanged on the DSE.
No sector but life insurance managed to avert the fall.
Also, the indices on the Chittagong Stock Exchange (CSE) fell sharply, while turnover on the port city bourse came down to Tk16.45 crore from over Tk20 crore.