Stocks rise on hope for improved business climate

Stock prices soared yesterday, buoyed by investor optimism on improved business and political climate after the national poll Monday.

Beximco companies, some sponsors of which are associated with the winner party Awami League in the election, steered the upbeat as investors, mainly retailers, ventured to bag shares, also in the banks, fuel and power sectors.

“Investors are positive as they optimist about improved politico-business climate in the days to come,” said Arif Khan, an analyst at IDLC Finance.

The benchmark DGEN or DSE General Index or DGEN surged 66.73 points, or 2.44 percent to 2795.33. The DSI or All Shares Price Index rose 50.96 points, or 2.25 percent to 2309.35. The DSE-20 blue chip index gained 36.99 points, or 1.61 percent to 2328.71.

Gainers beat losers 175 to 50. Five issues closed unchanged. Turnover reached the highest since mid- October. Total turnover rose to Tk 430.94 crore yesterday from Tk 290.18 crore the previous trading day (Sunday).

Beximco Pharma led the gain followed by Summit Power, Titas Gas, Beximco and Shinepukur Ceramics.

Beximco Pharma, one of the market heavyweights, climbed 10.69 percent to Tk 167. Summit Power, second leader in the turnover board, surged 14.76 percent to Tk 966. State-run Titas Gas added 2.88 percent to Tk 499. Shares of Beximco and Shinepukur Ceramics also ended higher.

Of the other issues on the turnover table, Grameens 2 mutual fund, ACI Formulations and Uttara Bank closed higher. National Bank and ACI slipped.

On the Chittagong Stock Exchange, CASPI or All Share Price Index added 2.32 percent to 8692.7457. The CSE 30 advanced 1.78 percent to 7566.94. The CSCX or Selective Index also finished higher.

Dhaka stocks surge for 4th day

Dhaka stocks surged on Tuesday amid a strong participation of institutional and big individual investors after the Monday�s national polls, market operators said.
The general index of Dhaka Stock Exchange gained 66.73 points, or 2.45 per cent, to close at 2795.34, while its blue chips index, DSE20, advanced by 36.99 points, or 1.61 per cent, to finish at 2328.71.
A merchant bank official said the market witnessed a strong participation of institutional and retail investors, expecting a healthy return in days to come. The Monday�s national polls lifted the investors� confidence level, he said.
The institutional investors, who already had completed their year-end loan adjustments, also started to inject funds into the market, signalling a recoup, he added.
With the Tuesday�s rise, Dhaka stocks posted gain for the fourth consecutive trading days.
Stock market analysts said the market got back pace in the last week as investors bought shares availing themselves of the lower prices of the securities after a two-and-a-half-month lull.
The DSE turnover increased to Tk 430.95 crore on Tuesday from the Sunday�s Tk 290.18 crore. The market indicator crossed Tk 400-crore mark for the first time since October 21.
Trading at the Dhaka and Chittagong bourses remained closed Monday due to the 9th parliamentary elections. The bourses will remain closed today due to a bank holiday.
Of the total 230 issues traded on Tuesday, 175 advanced, 50 declined and five remained unchanged.
Beximco Pharmaceuticals topped the turnover leaders with a total transaction of Tk 43.46 crore. Summit Power was the second biggest turnover leader with Tk 39.27 crore.
Titas Gas, Beximco, Shinepukur Ceramics, Grameen Two Mutual Fund, National Bank, ACI, ACI Formulations, and Uttara Bank were the rest of the day�s top 10 turnover leader.
The day also saw a significant rise in share prices at the Chittagong Stock Exchange.
The CSE selective categories index gained 141.16 points, or 2.55 per cent, to close at 5680.59, while its blue chips index, CSE30, advanced by 132.69 points, or 1.78 per cent, to finish at 7566.95.
Of the total 139 issues traded on the CSE floor, 107 posted gains, 30 dropped and two remained unchanged.
Turnover at the CSE went up to Tk 59.94 crore from the Sunday�s Tk 51.90 crore.

DSE gen INDEX[30-12-08]