In the realm of Dhaka’s stock market, recent weeks have been fraught with volatility and apprehension, with the DSE turnover plummeting to Tk486 crore, its lowest point since June 18. This sharp decline, witnessed over a mere two-week period, has been attributed to a convergence of factors. Rising interest rates have cast a shadow of uncertainty, coupled with concerns surrounding political stability and impending corporate earnings reports. The stock indices, including the broad-based DSEX and blue-chip DS30, experienced a downward trend, closing the week at 6,329 and 2,152 respectively, as investors grappled with the ever-shifting landscape.
While Bangladesh’s July exports showed an encouraging growth of 15.26% year-on-year, reaching $4.59 billion, the impact was dampened by a 5.86% decline in remittances, fueling pessimism among analysts. The cautious investor sentiment led to a strategy of profit-booking and reduced exposure to the capital market, causing the DSEX to extend its losing streak for two consecutive weeks. Despite this, opportunistic investors found value amidst the corrections, reflecting a dichotomy of risk-averse selling and strategic bargain hunting. The week saw a dichotomy of winners and losers, with the insurance, food, and miscellaneous sectors dominating the turnover share, and low-cap Libra Infusion emerging as the frontrunner with a notable 15.9% gain in stock price.
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