Finance
Market capitalization Tk 5,000 crore added to market after general elections
Personal representative, Dhaka, 13 January 2024: After the election of the 12th National Parliament, there has been a continuous upward trend in the share market of the country. The index posted big gains on three of the four trading days after the vote. At the same time, more companies have written their names on the price hike list. Also, the transaction speed has increased. Market capitalization has increased in such a positive market.
The market capitalization of main stock market Dhaka Stock Exchange (DSE) increased by over Tk 5 thousand crore in the four trading days last week after the polls. At the same time, transactions increased by more than 37 percent. And the main price index increased by more than 57 points.
The much-discussed 12th National Parliament election polling was held on January 7. The ruling Awami League won this election without BNP. However, before this vote, there is a fear of political instability in the country. Many investors refrain from investing due to fear of this. As a result, on the one hand, the speed of transactions decreases, on the other hand, the price decline becomes normal in the stock market. However, the polls were held without major clashes and the elected MPs have already been sworn in. The cabinet of the government has also been formed. As the vote and the formation of the new government in a normal environment, it seems to have a positive impact on the stock market. As a result, a large number of companies have written their names on the list of price hikes throughout the week after the vote.
In this, shares and units of 147 companies participating in trading on DSE during the week have entered the list of price increase. On the contrary, the price of 33 has decreased. And the price of 200 remains unchanged. Price unchanged Most firms have been stuck at floor prices (minimum prices) for a long time. Investors are not able to sell shares and units of these companies as there are no buyers. However, after the vote, the market gained some momentum and a few firms rose above the floor price.
The market capitalization of DSE stood at Tk 7 lakh 86 thousand 189 crore at the end of the last working day of the week as there were four times more companies in the list of price increase than price decrease. Which was 7 lakh 81 thousand 79 crore on the last working day of last week.
