Dhaka stocks witnessed a big drop in its indices in the past week, after increasing slightly in the previous week, as a section of panic-driven investors sold shares to protect their funds, market operators said.
They said that lack of investor confidence, consistent market volatility and heightened uncertainty about the market led to the negative vibe.
DSEX, the key index of the Dhaka Stock Exchange, decreased by 91.39 points, or 1.76 per cent, in the past week to end at 5,105.43 points.
Investors were cautious as the Bangladesh Securities and Exchange Commission recently imposed huge amount of fines on several individual investors and entities on allegations of share price manipulation and violation of securities laws, the market operators said.
Also, higher bank interest rates are inspiring investors to invest in fixed-income options instead of the stock market, they said.
The daily average turnover on the DSE decreased in the past week to reach Tk 322.18 crore compared with that of Tk聽444.34 crore in the previous week.
Of the 392 issues traded in the past week, 76 increased, 293 decreased and 23 stayed the same.
Investors were mostly active in pharmaceutical scrips, followed by textile and bank shares.
EBL Securities in its weekly market commentary said, 鈥業nvestors became anxious over the market鈥檚 momentum amid repeated regulatory actions against stock manipulations.鈥�
鈥楾he market witnessed a continuous selling spree throughout the week, while the news of the disbursement of the Tk 3000 crore sovereign-guaranteed loan to ICB also failed to subside the prevailing pessimism, leading the bears to take control of the market momentum,鈥� it added.
The DS30 index decreased by 30.02 points, or 1.57 per cent, to finish at 1,881.90 points.
The DSE Shariah index lost 23.92 points, or 2.06 per cent, to close at 1,140.05 points in the past week.
Orion Infusion topped the average weekly turnover chart with shares worth Tk 22.21 crore changing hands per session.
Dragon Sweater and Spinning, Asiatic Laboratories, Taufika Foods and Lovello Ice-cream, Saiham Cotton Mills, NRB Bank, Beximco Pharmaceuticals, Bangladesh Shipping Corporation and Square Pharmaceuticals were the other turnover leaders.