Market Index Rises, But Transactions Drop by 8.5% in Bangladesh’s Capital Market

Despite a rise in market indices, trading activity in Bangladesh’s capital market saw a notable dip last week. According to the Dhaka Stock Exchange’s (DSE) weekly report, the benchmark index, DSEX, grew by 0.73%, while the average daily turnover dropped by 8.55%.

A detailed review shows that the DSEX index increased by 39 points to close at 5,355, compared to the previous week’s 5,316. The DS30 index, representing selected companies, gained 21 points to stand at 1,986 from the prior week's 1,966. Similarly, the Shariah-based DSES index rose slightly to 1,190 points from 1,189.

Among 413 listed securities on the DSE, the share prices of 148 rose, 205 declined, and 31 remained unchanged, while 29 securities were not traded. The total turnover for the week stood at BDT 2,270 crore, a sharp decline from the previous week's BDT 3,029 crore.

Key Contributors to Index Growth
The stocks driving the index's positive performance included Beximco Pharma, Square Pharma, Olympic Industries, Jamuna Bank, British American Tobacco Bangladesh, and Khan Brothers.

Sectoral Performance

• The pharmaceutical and chemical sector accounted for the highest share of transactions, representing 15.7% of total turnover.
• The banking sector followed with 12.8%, while the textile sector secured third place with 9.5%.
• Other active sectors included fuel and power (8.7%) and engineering (7.2%).

Positive and Negative Returns by Sector

• Sectors with the highest positive returns included general insurance (10.3%), life insurance (4.4%), and fuel and power (2%).
• Conversely, the jute sector experienced the steepest decline (-16.4%), followed by travel (-6.4%) and paper (-3.6%).

Performance of the Chittagong Stock Exchange (CSE)
In the Chittagong Stock Exchange (CSE), the CASPI index rose by 0.19% to close at 14,880 points from the previous week’s 14,852. The CSCX index also increased by 0.33% to 9,063 points from 9,033.

CSE recorded a total turnover of BDT 70 crore, up from the previous week’s BDT 35 crore. Among 314 traded securities, 113 saw price increases, 182 faced declines, and 19 remained unchanged.

The weekly performance underscores a mixed outlook for Bangladesh’s capital markets, with index growth failing to align with transaction volumes.