Cautious Trading Leaves Dhaka Market Nearly Flat After Shortened Holiday Week
The DSEX fell 1.43 points during a holiday-shortened week, extending its losing streak to four weeks as turnover dropped sharply.
The Dhaka stock market closed the latest trading week with almost no net movement, as investors remained hesitant amid a cluster of corporate earnings announcements, ongoing macroeconomic pressures, and external geopolitical risks. The holiday-shortened schedule, tied to Durga Puja observances, limited activity to three sessions and reinforced a wait-and-see posture across the bourse.
The benchmark DSEX index of the Dhaka Stock Exchange finished at 5,450.60, declining a marginal 1.43 points. While the weekly change was negligible, the index has now registered losses for four consecutive weeks, accumulating a drop of 127 points over that period. The pattern points to persistent underlying weakness rather than a single-session anomaly. Blue-chip and Shariah-compliant sub-indices showed mixed results: the DS30 advanced seven points to close at 2,103, while the DSES shed more than seven points to settle at 1,078.
Turnover data underscored the subdued mood. Total value traded on the DSE reached Tk 11.86 billion across the three sessions, down sharply from Tk 23.53 billion the previous week. Even after adjusting for the fewer trading days, average daily turnover fell more than 16 percent to Tk 3.95 billion. One session recorded the lowest single-day turnover in nearly ten months, partly because technical disruptions affected trading terminals at several brokerage houses and further discouraged participation.
More than twenty listed companies released quarterly or annual financial results during the period. A sizable portion of those reports came in below market expectations, with managements citing elevated energy costs and sticky inflation as key drags on profitability. Investors interpreted the mixed-to-weak earnings picture as confirmation that cost pressures continue to squeeze margins, particularly in energy-intensive and consumer-facing sectors. At the same time, dividend declarations remained under close scrutiny, adding another layer of uncertainty for those weighing entry or exit points.
Broader domestic concerns compounded the caution. Persistent questions about the overall economic outlook, including the pace of recovery, banking-sector health, and the trajectory of inflation, kept many participants on the sidelines. Escalating geopolitical tensions in the Middle East supplied an additional external overhang, raising fears of further upward pressure on global energy prices and potential ripple effects on import costs and foreign-exchange conditions.
The week opened under clear selling pressure. Early losses mounted before selective bargain hunting emerged in the final session, concentrated especially in certain banking names. That late buying interest recovered most of the ground given up earlier, leaving the benchmark essentially unchanged. Market breadth nevertheless stayed negative: 213 issues declined, 126 advanced, and 42 remained unchanged. The textile sector accounted for the largest slice of turnover at roughly 23.5 percent, followed by general insurance and banking stocks.
On the Chittagong Stock Exchange the tone was more constructive. The All Share Price Index gained 28 points to close at 14,601, while the Selective Categories Index rose 27 points to 8,975, offering a modest contrast to the flat outcome in Dhaka.
Looking ahead, market participants will watch whether the late-week buying interest can be sustained once full trading resumes. Upcoming earnings and dividend announcements, any fresh market-development measures from the securities regulator, and further developments in Middle East tensions are expected to shape near-term direction. For the moment, the near-flat weekly close reflects a market that is neither collapsing nor rebounding decisively—simply absorbing a steady stream of cautious signals while the holiday calendar interrupts normal momentum.