Home Dhaka Stock Exchange Bangladesh Stock Market Extends Rally for Fourth Consecutive Week, Boosting Investor Confidence

Bangladesh Stock Market Extends Rally for Fourth Consecutive Week, Boosting Investor Confidence

by Bangladesh in Focus

The Bangladesh stock market has demonstrated impressive resilience, extending its rally for the fourth consecutive week and signaling a significant boost in investor confidence. This sustained upward trend reflects a growing sense of optimism among market participants, following a period of volatility. The consistent positive performance across key indices is contributing to a more stable and attractive investment environment, promising renewed momentum for the nationโ€™s capital market. In the last week, the DSEX, which is the main index of the Dhaka Stock Exchange (DSE), increased significantly by 1.15 percent and ended the week at 5,745 points. This increase added 65.26 points to the index, building on the positive momentum from previous weeks. In the same way, the DSES index, which follows Shariah principles, rose by 1.48 percent to hit 1,262 points. At the same time, the blue-chip index, known as DSCX, went up by 1.42 percent, finishing at 2,055 points. These widespread gains across different market segments indicate a broad-based recovery and renewed interest from investors. The rally has been supported by a significant increase in daily transaction volumes, reflecting enhanced liquidity and investor participation. Throughout the week, the DSE saw a rise of 31.75 percent in its average daily turnover, which hit Tk983.33 crore. This surge in trading activity is a healthy sign for the market, as higher turnover typically indicates greater investor engagement and a more dynamic trading environment. The overall positive sentiment led to 267 companies gaining value during the week, while 94 declined and 35 remained unchanged, showing a clear dominance of positive movements. Market analysts attribute this positive momentum to several factors, including ongoing efforts by the Bangladesh Bank to ensure market stability and improved liquidity in the banking system. The recent recovery in foreign exchange reserves and a more stable economic outlook have also played a crucial role in bolstering investor confidence. Investors are increasingly looking for opportunities in sectors that show strong fundamentals and growth potential, contributing to the selective buying trends observed across the market. This four-week consecutive rally marks a significant turning point for Bangladesh’s stock market, moving past recent challenges to establish a more stable growth trajectory. The increased participation from both institutional and individual investors suggests a broader belief in the market’s recovery and future prospects. With continued supportive policies and improving macroeconomic indicators, the stock market is poised for further stability and growth, ultimately contributing to the nation’s overall economic resilience and providing promising avenues for investment.

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