Stocks extended their winning streak for the third session in a row on Thursday, with key index of the premier bourse hitting nearly 14-month high as buying interest continued especially in the financial stocks.
Market insiders said the favorable macro-economic indicators as well as persistent positive trend of the capital market continued to attract the investors to take position on bank, textile, engineering and power stocks.
The market stared on an upward note and the key index of the premier bourse gained nearly 30 points within first 30 minutes of trading, followed by minor intra-day profit-taking in the mid-session and the main index ultimately closed nearly 26 points higher.
At the end of the session, DSEX, the prime index of the Dhaka Stock Exchange (DSE), went up by 25.98 points or 0.55 per cent to settle at 4,791.33 which was the highest level of DSEX since October 7, 2015 when DSEX was 4,800.62.
The two other indices also closed higher. The DS30 comprising the blue-chips advanced 5.46 points or 0.31 per cent to settle at 1,769.53. The DSE Shariah Index (DSES) also gained 4.07 points or 0.36 per cent to close at 1,133.27.
The total turnover on the DSE fell sharply by 55 per cent to come down to Tk 6.58 billion compared to the previous day's five years' high of Tk 14.78 billion.
However, Wednesday's record turnover was largely driven by block trade of Tk 8.28 billion of Khulna Power Company Limited alone. With the one-off block transaction that took place on that day aside, total turnover increased meagerly by 1.2 per cent on Thursday.
Banking sector emerged as turnover leader, capturing 18 per cent of the day's total turnover value, followed by textiles 14 per cent and engineering 11 per cent.
"The market extended its gaining spell as favorable market fundamentals promoted optimistic investors to hold onto their buying spree," said Asian Tiger Capital Partners, an asset management company, in its analysis.
LankaBangla Securities, a stockbroker, said, "Stocks started off the day on the same bullish note that has characterised in the past few trading sessions, but exhibited some profit-taking in the middle of the session. However, a sudden jolt of buying in the last hour drove the DSEX to 14-month high."
The stockbroker noted that mutual fund, bank and power stocks were among the gaining sectors. Other sectors turned mixed as investors seem to take a breather following the upward move seen over the past couple of days.
Among the major sectors, bank, non-bank financial institutions and pharmaceuticals increased by 1.09 per cent, 0.36 per cent and 0.51 per cent respectively while Food and allied, telecommunication and engineering lost 0.81 per cent, 0.73 per cent and 0.11 per cent respectively.
The gainers took a modest lead over the losers as out of 319 issues traded, 173 closed higher, 120 closed lower and 26 remained unchanged on the DSE trading floor.
Doreen Power Generations and Distributions dominated the DSE turnover chart with 2.26 million shares worth Tk 271 million changing hands, followed by Beximco, Generation Next Fashion, Bangladesh Building Systems and City Bank.
Grameen One: Scheme Two Mutual Fund was the day's best performer, posting a gain of 9.62 per cent while Bangladesh Building Systems was the worst loser slumping by 7.56 per cent.
The port city bourse, the Chittagong Stock Exchange (CSE), ended higher with its Selective Categories Index - CSCX-advancing 32.89 points to settle at 8,962.29 points.
Gainers beat losers as 139 issues closed higher, 89 closed lower and 22 remained unchanged on the CSE.
The port city bourse traded 21.44 million shares and mutual fund units worth nearly Tk 429 million in turnover.