FE Report
All major sectors on the Dhaka Stock Exchange (DSE) witnessed massive sell-offs last week that ended on Thursday.
Among the 19 sectors listed on DSE, except corporate bonds, debenture and treasury bonds, 16 sectors witnessed notable sell pressure, while three sectors posted marginal gain, according to statistics from LankaBangla Securities and DSE.
Among the losers, seven sectors - paper & printing, engineering, services & real estate, non-bank financial institutions (NBFIs), travel & leisure, insurance and textile - lost more than 5.0 per cent each, the DSE data showed.
Paper & printing was the biggest loser that tumbled by 8.99 per cent. It happened, as Khulna Printing & Paper and Hakkani Pulp & Paper faced significant price erosion of 12.75 per cent and 4.41 per cent respectively.
Miscellaneous sector was the second highest loser last week, which lost 7.65 per cent, as 10 issues of the sector, out of 12, declined sharply.
Among the miscellaneous issues, Aramit posted the highest loss of 20.6 per cent, followed by GQ Ball Pen 15.9 per cent, National Feed Mills 15.8 per cent, Savar Refractories 13.5 per cent, and Berger Paints 8.3 per cent.
Engineering sector was the third highest loser, dropping 7.58 per cent, as out of 32 issues of the sector, 26 issues posted negative return.
Among the engineering issues, Bangladesh Steel Re-rolling Mills (BSRM) slumped by 19.6 per cent, following its sponsor's share sale news.
H Akberali & Co Limited, one of the corporate sponsors of BSRM, expressed its intention last week to sell 2.62 million shares at prevailing market price through stock exchange within the next 30 working days.
Each share of BSRM, the Chittagong-based steel producer, plunged 19.64 per cent over the previous week to close at Tk 142 on Thursday.
Services and real estate, NBFIs, travel and leisure, insurance, textile, cement and pharmaceuticals lost 7.33 per cent, 6.90 per cent, 6.80 per cent, 5.62 per cent, 5.04 per cent, 4.93 per cent and 3.41 per cent respectively.
Banks, ceramics, fuel & power, mutual fund, telecommunication and tannery also declined by 2.84 per cent, 2.81 per cent, 1.95 per cent, 1.90 per cent, 1.10 per cent and 0.56 per cent respectively.
NBFIs lost 6.90 per cent, as out of 23 issues of the sector, 20 faced erosion, with the sector's heavyweight Investment Corporation of Bangladesh (ICB) posting 10.1 per cent loss.
Among the NBFIs, First Finance was the biggest loser, dropping by 28.1 per cent, following its dividend recommendation news. It was followed by GSP Finance 18.6 per cent, BD Finance 13.5 per cent, FAS Finance 11.8 per cent, and Peoples Leasing 10.9 per cent.
Banking sector also lost 2.84 per cent, as 19 banks suffered loss, out of 30 listed banks.
Among the banks, Mercantile Bank was the biggest loser, shedding 19.1 per cent, followed by NCC Bank 11.2 per cent, AB Bank 9.5 per cent, IFIC Bank 8.2 per cent, and Bank Asia 6.0 per cent.
Cement sector tumbled 4.93 per cent, as five issues, out of seven, witnessed significant price fall.
Among the cement issues, Aramit Cement lost 17.8 per cent, Lafarge Surma Cement 7.6 per cent, Confidence Cement 7.4 per cent, and Meghna Cement 5.4 per cent.
Telecommunication sector, which included only two companies - GP and the state-owned Bangladesh Submarine Cable Company (BSCCL) - also posted 1.10 per cent loss, as BSCCL and GP lost 5.0 per cent and 1.0 per cent respectively.
Meanwhile, IT, jute and food & allied sectors saw positive return, advancing 1.99 per cent, 1.70 per cent and 0.27 per cent respectively.
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Source: The Financial Express