Stocks rebound strongly after eight-day slump
Stock market rebounded strongly Monday, snapping an eight-day slump, as bargain hunters put fresh bets on stocks, riding on the government’s moves to revamp the ailing market. Market insiders said the stock market regulator and the finance ministry took a number of initiatives to increase fund flow in the stock market which helped the market bounce back. The Bangladesh Securities and Exchange Commission raised the margin-loan ratio to 1:1 while the finance ministry asked to extend the tenure and amount of the capital-market refinancing fund to support the moribund market. Following the news, the bargain hunters, including institutional investors, rushed to buy shares from the very beginning of the session and the key index climbed over 100 points instantly at the opening. Finally, DSEX, the prime index of the Dhaka Stock Exchange (DSE), soared 118.86 points or 1.93 per cent to settle at 6,261, after losing 556 points in the past eight consecutive days. Two other indices also ended higher with the DSE 30 Index, comprising blue chips, rose 32.58 points to finish at 2,309 and the DSE Shariah Index (DSES) jumped 15.26 points to close at 1,376. The Chittagong Stock Exchange (CSE) also rebounded with the CSE All Share Price Index – CASPI -soaring 322 points to settle at 18,400 and the Selective Categories Index – CSCX rising 192 points to close at 11,039.
Taka devalued again to keep dollar market stable
The Bangladesh Bank on Monday depreciated taka by Tk0.40 re-fixing the local currency’s exchange rate against the US dollar at Tk87.90 to stabilise the volatile forex market, according to sources at the central bank. This is the third depreciation of the local currency against the greenback this May. Till Sunday, the inter-bank exchange rate was Tk87.5, which was fixed on 16 May. On 9 May, the exchange rate had been increased by Tk0.25 to Tk86.7 from Tk86.45. On 12 April, following an inter-ministerial meeting, the BPC was told to pay the fuel oil bill by purchasing dollars at the market rate or the interbank rate. On April 26 of the same month, the BPC informed the decision to the state-owned and private banks. With the inter-bank exchange rate rising, the value of paper dollars is also increasing by leaps and bounds. On Monday, buyers had to pay Tk98.20 to buy $1 from money exchangers. Earlier, on 17 May, the price of $1 rose to Tk102 in the kerb market.
StanChart wins ‘Best CSR Bank’ award
Standard Chartered Bangladesh was recognised as the ‘Best CSR Bank in Bangladesh’ at the International Finance Awards ceremony. The bank was awarded by the International Finance for its commitment to empowering all members of the community and for enabling both long-term and sustainable progress, growth, and recovery. In dealing with the pandemic, Standard Chartered Bangladesh has facilitated lasting economic and social recovery while addressing the pressing need to save lives.