Stocks
Global Markets Decline as Hopes for Early Rate Cuts Diminish, Slows China’s Economy
Asian markets faced further declines on Wednesday as expectations for an immediate interest rate cut by major central banks faded. The buoyancy that marked the end of 2023 has been replaced by cautious sentiment, with the US Federal Reserve signaling a reluctance for a first-quarter dovish pivot due to persistent inflation and resilient labor markets. Fed governor Christopher Waller’s remarks, though expressing confidence in reaching a sustainable inflation level, emphasized a methodical approach to rate cuts, causing uncertainty in the markets.
Fed Governor Waller Points to Potential Rate Cut, Cautions Against Hastiness
Fed governor Christopher Waller, known for his dovish stance, suggested on Tuesday that the central bank could cut borrowing costs this year, provided inflation remains in check. However, he emphasized a deliberate and careful approach to rate reductions, stating that lowering rates should be done methodically. Waller’s comments followed recent data and signals from the Fed, indicating a preference for maintaining high rates to combat inflation. This tempered expectations for an early interest rate cut and impacted global market sentiment.
Global Economic Recovery Faces Headwinds Amid Rising Geopolitical Tensions
Rising tensions in the Middle East and Eastern Europe, coupled with the persistent US-China trade dispute, are contributing to concerns about the fragility of the global economic recovery. Investors are apprehensive that geopolitical uncertainties could potentially disrupt the ongoing economic rebound. The combination of these factors has added a layer of caution to the optimism seen at the close of 2023.
China’s GDP Growth Hits Three-Decade Low, Adding Pressure for Stimulus
China’s economy recorded its slowest growth in over three decades, expanding by 5.2% in the previous year. The data, while in line with expectations, underscored the impact of a property crisis, subdued consumption, and global challenges on the world’s second-largest economy. Calls for Beijing to implement substantial stimulus measures to boost growth and address the property sector’s debt crisis have intensified. Premier Li Qiang, however, asserted that the growth was achieved without massive stimulus in a speech at the World Economic Forum in Davos.
Market Reactions: Asian and Global Markets Slide Amid Rate Cut Uncertainty
Equity markets across Asia, including Hong Kong, Shanghai, Sydney, Seoul, Singapore, Taipei, Wellington, Jakarta, and Manila, experienced declines as investors reacted to the uncertainty surrounding interest rate cuts. The negative sentiment spilled over to European markets and contributed to losses in Wall Street indexes. Tokyo, however, bucked the trend and resumed its rally after a brief drop, fueled by a weaker yen and positive inflation figures.
Dhaka Stock Exchange DSE, Bourse on the last working day of the week, 16th May, ended with a drop in Indices and hike in Turnover from the previous working session. This information is known from DSE sources.
676 crore 79 lakh taka shares were traded on this day. 150 crore 46 lakh more tradings were done in DSE today compared to the previous workday, 15th May , Shares worth Tk 526 crores 33 lakh shares were traded last time, Wednesday.
The benchmark DSEX lost 9.98 points or 5,517 The Shariah-based index DSES dropped 0.80 points or 1,212, and the blue-chip index DS30 decreased by 3.79 points or 1,973.
Of the issues traded, 122 advanced, 215 declined and 57 remained unchanged.
MBL 1st Mutual Fund ranked top gainer on DSE, the share price increased by Tk 0.50 paisa or 10 percent. On this day, the share was last traded at Tk 5.50 paisa.
Sonali Paper & Board Mills Limited ranked top loser on the DSE, the share price dropped by Tk 11.80 paisa or 3.00 percent. On this day, the share was last traded at Tk 382.50 paisa.
DSE topped on trade is Asiatic Laboratories Limited 46 crore 23 lakh takas of company shares have been traded.
A total of 43 companies’ shares were traded in the Block on Dhaka Stock Exchange. A total of 3 crore 22 lakh 1 thousand 792 shares of the companies were traded. The financial value of which is 49 crore 85 lakh taka
Dhaka Stock Exchange DSE, Bourse on the fourth working day of the week, 15th May, ended with a drop in Indices and Turnover from the previous working session. This information is known from DSE sources.
526 crore 33 lakh taka shares were traded on this day. 138 crore 3 lakh less tradings were done in DSE today compared to the previous workday, 14th May , Shares worth Tk 664 crores 36 lakh shares were traded last time, Tuesday.
The benchmark DSEX lost 58.22 points or 5,527 The Shariah-based index DSES dropped 12.79 points or 1,212, and the blue-chip index DS30 decreased by 14.14 points or 1,977.
Of the issues traded, 61 advanced, 301 declined and 33 remained unchanged.
Reliance One the first scheme of Reliance Insurance Mutual Fund ranked top gainer on DSE, the share price increased by Tk 1.50 paisa or 8.77 percent. On this day, the share was last traded at Tk 18.60 paisa.
Bay Leasing & Investment Limited ranked top loser on the DSE, the share price dropped by Tk 0.30 paisa or 3.00 percent. On this day, the share was last traded at Tk 9.70 paisa.
DSE topped on trade is Alif Industries Limited 19 crore 21 lakh takas of company shares have been traded.
A total of 45 companies’ shares were traded in the Block on Dhaka Stock Exchange. A total of 68 lakh 31 thousand 91 shares of the companies were traded. The financial value of which is 37 crore 38 lakh taka
Dhaka Stock Exchange DSE, Bourse on the third working day of the week, 14th May, ended with a drop in Indices and Turnover from the previous working session. This information is known from DSE sources.
664 crore 36 lakh taka shares were traded on this day. 17 crore 86 lakh less tradings were done in DSE today compared to the previous workday, 9th May , Shares worth Tk 968 crores 2 lakh shares were traded last time, Monday.
The benchmark DSEX lost 81.14 points or 5,585 The Shariah-based index DSES dropped 15.76 points or 1,225, and the blue-chip index DS30 decreased by 26.04 points or 1,991.
Of the issues traded, 31 advanced, 343 declined and 25 remained unchanged.
Reliance One the first scheme of Reliance Insurance Mutual Fund ranked top gainer on DSE, the share price increased by Tk 1.50 paisa or 9.55 percent. On this day, the share was last traded at Tk 17.10 paisa.
Union Insurance Company Limited ranked top loser on the DSE, the share price dropped by Tk 4.00 paisa or 9.32 percent. On this day, the share was last traded at Tk 38.90 paisa.
DSE topped on trade is eGeneration Limited 28 crore 18 lakh takas of company shares have been traded.
A total of 45 companies’ shares were traded in the Block on Dhaka Stock Exchange. A total of 74 lakh 95 thousand 900 shares of the companies were traded. The financial value of which is 34 crore 92 lakh taka
