Market capitalization declines

Although the pace of trading and the index increased at the country’s main stock market, the Dhaka Stock Exchange (DSE), last week, overall market capitalization fell by nearly Tk 1,802 crore. Although the price index moved downward on four of the five trading days, share and unit prices of most institutions increased at the end of the week.

Among the institutions traded on the DSE throughout the week, prices of 252 increased, 105 declined and 29 remained unchanged. As a result, DSE market capitalization stood at Tk 6 lakh 90 thousand 571 crores at the end of the week’s final trading session. This was Tk 1,802 crore lower than Tk 6 lakh 92 thousand 373 crores in the previous week.

Despite the decline in market capitalization, all DSE indices rose last week. The benchmark DSEX index gained 46.18 points or 0.83 percent. The DSE Shariah Index, based on Islamic Shariah principles, rose 8.99 points or 0.81 percent. The DSE 30 Index, comprising selected companies, increased 10.97 points or 0.52 percent.

Meanwhile, trading activity in the market also increased significantly. The DSE recorded average daily transactions worth Tk 785.71 crore last week. The average daily transaction volume was Tk 554.87 crore in the previous week. This means average daily transactions increased by Tk 230.84 crore or 41.60 percent on each trading day.

The three institutions with the highest average daily transactions in monetary terms throughout the week were Eastern Bank at Tk 21.93 crore, Sharp Industries at Tk 20.80 crore and Square Pharmaceuticals at Tk 20.24 crore. Other companies on the list of top traded companies were IPDC Finance, Saiham Textile, Envoy Textiles, Dominage Steel Building, Paramount Textile, Orion Infusion and GQ Ball Pen.