Dhaka: The country's two major stock exchanges, Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE), experienced a significant downturn today as the decline in large-cap stock prices increased selling pressure, amid rising concerns about a potential earnings downturn. The DSEX, which is the broad index of the DSE, dropped by 78.6 points, settling at 5,644 points from the previous session's 5,722 points.
According to Bangladesh Sangbad Sangstha, the market was under pressure from the start as investors continued to sell shares, particularly large-cap stocks, due to concerns over the ongoing nationwide gas and electricity crisis and geopolitical tensions in the Middle East. This broad-based sell-off highlighted increased risk aversion among investors, with almost all sectors ending the session negatively.
Market turnover also saw a decrease of 15.4 percent, falling to Taka 6.0 billion from Taka 7.1 billion in the previous session, indicating a decline in investor participation. Textile stocks accounted for the highest share of turnover at 24.6 percent, followed by pharmaceuticals at 11.7 percent, and general insurance at 11.6 percent.
Among the various sectors, textile stocks suffered the most, declining by 3.3 percent, while services and mutual funds sectors fell by 2.6 percent and 2.5 percent respectively. Out of the 395 issues traded on the DSE, only 13 advanced, while 352 declined and 30 remained unchanged, highlighting the extensive nature of the sell-off.
The Chittagong Stock Exchange (CSE) also witnessed a decline, with its selected index, CSCX, falling by 86.2 points and the All Share Price Index (CASPI) decreasing by 173.8 points.