Written by The Banking Post
Stocks edged lower at the opening on Monday as investors took a cautious stance following a sharp rally in the previous session.
The market had soared nearly 200 points on Sunday — its biggest single-day gain in over 18 months — in the first trading session after the national election. The rally was driven by optimism surrounding the BNP-led alliance’s landslide victory and expectations of a supportive business climate.
But the upbeat mood gave way to profit-taking and a wait-and-see approach on Monday.
Despite gaining more than 40 points in the first 10 minutes of trading, the benchmark index failed to hold onto early gains.
By 11:00am, the prime index of the Dhaka Stock Exchange (DSE) had slipped 4.32 points, or 0.07 per cent, to 5,596. The blue-chip DS30 index fell 10 points to 2,134, while the Shariah-based DSES index declined 2 points to 1,112.
Turnover stood at Tk 4.90 billion within the first half hour, indicating active participation despite the cautious mood.
Out of the traded issues on the DSE floor, 154 advanced, 188 declined and 46 remained unchanged.
Square Pharmaceuticals emerged as the most-traded stock, with shares worth Tk 376 million changing hands.
In contrast, the Chittagong Stock Exchange (CSE) maintained a positive trend in early trading. Its All Shares Price Index (CASPI) rose 57 points to 15,576, while the Selective Categories Index (CSCX) advanced 21 points to 9,577.
Market analysts said the early dip reflects a consolidation phase after Sunday’s strong rally, as investors reassess valuations and political developments.
