Core index hits fresh nine-month high
The core index of the prime bourse on Tuesday hit fresh nine months high, as investors showed their buying appetite on financial issues. Market analysts said investors were active on both sides of trading fence, taking the market turnover above Tk 11 billion-mark for the second day in a row. According to a leading broker, the local and foreign investors were active on the trading floor as they continued to pour money anew into stocks amid growing confidence and rising trend of junk stocks is a matter of concern and investors should be careful. DSEX, the prime index of the Dhaka Stock Exchange (DSE), went up by 27.04 points or 0.46 per cent to settle at 5,863. It was the highest level of DSEX since April 09, last year. According to IDLC Securities, the day’s rise was driven by financial and pharmaceutical companies and top three positive index contributors were Square Pharmaceuticals, Dhaka Bank and Delta Life Insurance. The two other indices also edged higher. The DS30 index, comprising blue chips, advanced 3.07 points to finish at 2,029 and the DSES (Shariah) index gained 4.03 points to settle at 1,330.
IFIL launches 3 investment and deposit products
Islamic Finance and Investment Limited on Tuesday launched three new investment and deposit products to facilitate customers and provide better financial service. The company launched the products at a press conference held at National Press Club in Dhaka. The country’s first Shariah based non-bank financial institution, IFIL, brought one deposit product— Mudaraba Asan Deposit Scheme, and two investment products. According to the CEO Mudaraba Asaan Deposit Scheme was introduced to encourage core deposit from the low-end to high-end individual clients and the product is very much flexible unlike other deposit scheme in the sense that the client can deposit any amount at anytime in this scheme and the profit must be counted on daily basis. Raha, an investment facility, will support the opening and retirement of letter of credit amount to purchase and acquisition of raw materials, capital machinery, commercial vehicles and heavy equipment of the clients against L/C opened and maintained with other banks. Under Silaa Ul Istihlak, the product is offered to purchase commodity items to resale in the market to fulfill the seasonal demand of the market.
United Finance’s share jumps 20pc in two days
The share prices of four listed companies surged recently despite having no undisclosed price sensitive information (PSI). The companies are: United Finance, Bangladesh Lamps, Sonarbangla Insurance and the state-run Renwick Jajneswar. These companies’ share rose up to 20 per cent within two trading days. Following the unusual price hike, the Dhaka Stock Exchange (DSE) served show-cause notices on the companies. In response, the companies in knee-jerk responses separately informed the prime bourse on Tuesday that there was no undisclosed price sensitive information for the recent unusual price hike of the shares.Share price of United Finance jumped 20 per cent within two trading days to close at Tk 24.20 each on Tuesday.
Govt to allow LNG import in pvt sector
The government would soon open the import of liquefied natural gas (LNG) to the private sector, enabling them to sell the fuel to clients of their choice. According to the Minister of Power and Energy the private sector would be able to import LNG, regasify and sell it to consumers under a specific policy to be formulated soon. The price of LNG or regasified LNG would be determined by the private importers themselves and the private sector would be allowed to build LNG import terminal, if necessary, to facilitate business. Govt would also be allowed to supply their regasified LNG through state-run national gas grid against payment of wheeling charges.
BSEC approves proposal of determining cut-off price of Popular Pharma
The securities regulator has approved the proposal of determining cut-off price of Popular Pharmaceuticals as part of its plan of offloading shares through book building method. The approval came on Tuesday at a meeting held at the office of the Bangladesh Securities and Exchange Commission (BSEC). As per the public issue rules, the cut-off price of the Popular Pharmaceuticals will be determined through electronic bidding. The company will go public under book building method to raise a capital worth Tk 700 million. General investors get the shares of a company, allowed to offload shares under book building method, after determining the cut-off price of shares. The EIs purchase shares at cut-off price, while general investors get shares through IPO (initial public offering) at 10 per cent discount of the cutoff price.
Real estate betting big on 2019
Home sales are likely to pick up this year after a underwhelming 2018, spurred by hopes of political stability and positive economic growth outlook. According to the president of the Real Estate & Housing Association of Bangladesh (REHAB) as the election is over there is political stability and they expect the market to be better this year than the last one. This year, the market may expand by up to 9 percent in terms of sales of the number of units and the loan opportunity extended by the government for public sector employees would have a positive impact on the demand for homes.
S. S. Steel makes trading debut tomorrow
S. S. Steel Ltd will make its share trading debut on the stock exchanges tomorrow (Thursday) under the “N” category. The Dhaka Stock Exchange (DSE) trading code for the company is “SSSTEEL” and the company code is 13245 while the Chittagong Stock Exchange (CSE) scrip ID is 16038 and scrip code is “SSSTEEL”. The S. S. Steel will be the 37th listed company under the “Engineering” sector on the Dhaka bourse. The sector accounted for around 6.0 per cent of the DSE’s total market capitalization. The engineering sector company raised a capital worth Tk 250 million from the capital market by offloading 25 million ordinary shares using the fixed price method. The securities regulator — Bangladesh Securities and Exchange Commission (BSEC) approved the company’s IPO proposal on July 17 last year to raise the said amount.
Local and Global Stock Indices *
|Index Name||Close Value||Value Change||Percentage Change|
|DSEX||5,863.27706|| ↑27.0429 || ↑ 0.46%|
|DJIA||24,065.59||↑155.75|| ↑ 0.65%|
|Nikkei 225||20,414.32||↓140.97||↓0.69% |
World Commodities *
|Commodity||Close Value||Value Change||Percentage Change|
|Crude Oil (WTI)||$ 52.00||↓ 0.11||↓ 0.21% |
|Crude Oil (Brent)||$ 60.57||↓0.07|| ↓ 0.12% |
|Gold Spot|| $1,288.85|| ↓ 0.66||↓ 0.05%|
Major Currencies Exchange Rates Movement in Last Seven Days *
|USD 1||BDT 83.7724|
|GBP 1||BDT 107.5889|
|EUR 1||BDT 95.4922|
|INR 1||BDT 1.1795|
*CURRENCIES AND COMMODITIES ARE TAKEN FROM BLOOMBERG.<