The country’s capital market opened the week on a buoyant note, extending its gaining streak for the second consecutive session as investors showed renewed appetite for shares in the banking and textile sectors.
The Dhaka Stock Exchange’s (DSE) broad index, DSEX, advanced by 51 points, or 1%, to settle at 5,401 today (17 August), compared to 5,350 points in the previous trading session. With this rally, the benchmark index has now gained a total of 87 points over the last two sessions.
The bullish momentum was visible right from the opening bell and continued steadily throughout the session until closing, buoyed by optimism in key sectors. Market capitalisation rose by Tk4,500 crore as confidence among investors appeared to strengthen, while turnover also registered a notable rise of 14% to Tk802 crore.
The sectoral breakdown showed banking shares leading in activity and turnover, accounting for 18.1% of total transactions, followed closely by pharmaceuticals at 16.7% and textiles at 11.1%.
These three sectors collectively anchored the day’s gains, with banking and textile stocks standing out as the day’s star performers. In terms of returns, the textile sector gained 2.3%, the banking sector advanced 2%, and the paper sector also showed resilience with 1.2% growth.
Market breadth remained positive, with 202 issues advancing against 132 that declined, while 63 scrips remained unchanged out of the 397 securities traded on the day.
The blue-chip index, DS30, also mirrored the upbeat sentiment, rising by 22 points to close at 2,095, while the Shariah-compliant index DSES also posted gains.
Investor activity was particularly concentrated in a few leading stocks. City Bank, Bangladesh Shipping Corporation, Orion Infusion, Beximco Pharmaceuticals, and Asiatic Laboratories topped the turnover chart, indicating continued institutional and retail interest in these counters.
Among the day’s top gainers, Desh Garments rose 9.99%, followed closely by Dulamia Cotton with a 9.93% increase, Mithun Knitting which gained 9.55%, Hwa Well Textiles up 9.37%, and GQ Ball Pen advancing 8.72%.
On the other hand, IFIC First Mutual Fund suffered the steepest fall with a 5.40% decline, while Uttara Finance, Legacy Footwear, Global Islami Bank, and Safko Spinning also ended the day lower.
The positive momentum was not confined to the Dhaka bourse alone. The port-city bourse, Chittagong Stock Exchange (CSE), also experienced a bullish session. Its Selective Categories’ Index (CSCX) surged by 79 points to close at 9,269, while the All Share Price Index (CASPI) rose by 124 points to 15,096. Turnover at the CSE stood at Tk13.66 crore.
Market analysts attributed the latest upturn to renewed optimism as investors believe the textile sector could benefit from progress on international trade issues. Banking stocks, meanwhile, continued to attract strong participation, reflecting confidence in the sector’s reform process.
EBL Securities, in a market commentary, observed that the benchmark index has been extending its bullish momentum in recent sessions as investors’ optimism, driven by earnings expectations and portfolio rebalancing, led to robust buying in the banking and selective blue-chip stocks. Textile scrips also enjoyed renewed interest, fueled by optimism over potential policy shifts regarding trade tariffs.
A textile mill owner said, “Orders from the US dropped at an alarming rate after the announcement of Trump tariff. However, as the tariff issue has now been handled well, the orders have started to surge.”
