Price fall in large-cap stocks drives market lower

Country's both bourses, Dhaka Stock Exchange (DSE) and Chittagong Stock Exchange (CSE), today plunged as falling prices of large-cap stocks intensified selling pressure across the market amid growing concerns over a possible earnings downturn.

The DSEX, the broad index of the DSE, plunged 78.6 points to settle at 5,644 points, down from 5,722 points in the previous trading session.

The market remained under pressure from the opening as investors continued to offload shares, particularly large-cap stocks, amid concerns over the prolonged nationwide gas and electricity crisis and ongoing geopolitical tensions in the Middle East.

The broad-based sell-off reflected heightened risk aversion among investors, with almost all sectors ending the session in negative territory.

Market turnover also declined 15.4 percent to Taka 6.0 billion from Taka 7.1 billion in the previous session, indicating a further weakening of 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 sectors, textile suffered the highest correction, falling 3.3 
percent, while services and mutual funds declined 2.6 percent and 2.5 percent respectively.

Of the 395 issues traded on the DSE, only 13 advanced, while 352 declined and 30 remained unchanged, underscoring the breadth of the sell-off.

The Chittagong Stock Exchange (CSE) also closed lower. Its selected index, CSCX, fell 86.2 points, while the All Share Price Index (CASPI) declined 173.8 points.