Stocks fall as shaky investors book profit

Shares in Bangladesh dropped for the third consecutive session yesterday highlighting the concerns among investors over the implication of the record fuel price hike by the government. 

The DSEX, the benchmark index of the Dhaka Stock Exchange (DSE), nosedived 78 points, or 1.24 per cent, to close at 6,180.

Turnover fell 26 per cent to Tk 799 crore from the previous session.

On the DSE, 26 stocks advanced, 279 declined, and 74 remained unchanged.

"The investors were in a selling mode riding on the price hike of fuel oil," said International Leasing Securities Ltd in its daily market review, adding that shaky investors have continued booking profits.

On Saturday, the government raised the price of diesel and kerosene by 42.5 per cent and petrol and octane by 51.1 per cent and 51.7 per cent respectively.

The hike, the sharpest in the country's history, could hit the earnings of the listed companies since it would fan inflationary pressures, which surged to a nine-year high in June before dropping slightly in July.

Shurwid Industries topped the gainers' list advancing 5.07 per cent on the day.

S Alam Cold Rolled Steels, Aman Feed Mills, Apex Spinning & Knitting Mills, and Sinobangla Industries Ltd were among the highest gainers.

Mozaffar Hossain Spinning Mills was the worst-performing stock on the day dropping 7.54 per cent.

Sonargaon Textiles, Simtex Industries, BD Thai Food & Beverage, Global Heavy Chemicals, and SK Trims suffered significant losses.

Beximco Ltd dominated the chart of the most-traded stocks with its shares worth Tk 66 crore changing hands, followed by Sonali Paper & Board Mills, Sea Pearl Beach Resort & Spa, Malek Spinning Mills, and Intraco Refuelling Station.