Stocks
Baseless Rumors Circulate Against BSEC Chairman to affect the Stock Market
In recent months, the volatility in the country’s stock market has started to ease, bringing some relief to investors. In the past week, investors in the stock market have seen their capital grow by over 3 thousand crore taka. Trading activity has also increased, with transactions exceeding 1 thousand 140 crore taka.
Simultaneously, all key economic indicators have shown an upward trend, crossing last week’s threshold. When investors began to see the light of hope, a disruptive element emerged in the stock market, causing a significant downturn. A rumor mill has been churning out various speculations about this within social media groups dedicated to stock market discussions. The Chairman of the Bangladesh Securities and Exchange Commission (BSEC), Professor Shibali Rubayat-ul-Islam, has become the focal point of these speculative narratives. These rumors are being disseminated through various Facebook-based stock market groups. This information has been gathered from reliable sources.
According to sources, the United States State Department has announced a new visa policy. In an announcement on Friday (September 22) evening, Matthew Miller, the spokesperson for the US Department of State, revealed this information. The United States has declared this new visa policy with the aim of ensuring a free, fair, and peaceful national election in Bangladesh. The policy mentions the possibility of imposing visa restrictions on individuals and entities associated with institutions related to Bangladesh’s upcoming 12th National Parliament election. It’s important to note that no one in Bangladesh’s stock market is directly involved in election management. Therefore, analysts believe there is no likelihood of the visa policy being applied to the Bangladesh Securities and Exchange Commission (BSEC) or its personnel.
It is known that, even though the spokesperson of the US Department of State did not mention any individual’s name, false information is being spread through various fake Facebook accounts, causing confusion. Within this context, a deceptive cycle is spreading rumors about the Chairman of the BSEC (Bangladesh Securities and Exchange Commission) through a fake account by the name of “Jamil Ahmod.” This account claims that Professor Shibali Rubayat-ul-Islam’s American visa has been canceled, alleging that he has lost her entry privileges to the United States. However, when the United States imposes a visa restriction on someone, they do not disclose the person’s name, but they are privately notified. Therefore, this matter is considered entirely baseless and a product of misinformation by those involved.
In the comments section of Jamil Ahmod’s post, there are mixed reactions. A person named Jahirul Islam Jahi commented, “Why did he engage in election tampering?” Another individual with the name Al Riad remarked, “Fake. He will never come under its purview.” Someone named Shahjahan added, “Completely false and baseless gossip, and motivated by ill intentions. Prof Rubaiyat has no knowledge of elections whatsoever.” Additionally, several comments on the post have criticized and condemned those spreading gossip and misinformation, drawing the attention of law enforcement agencies to their actions.
It is known that on May 24th, the United States announced a new visa policy with the goal of ensuring a free, fair, and peaceful national election in Bangladesh. On that day, US Secretary of State Antony Blinken stated in a press release that under the new policy, the United States will not grant visas to individuals or entities in Bangladesh responsible for obstructing or interfering with the democratic election process. Yesterday, the spokesperson for the US Department of State, Matthew Miller, clarified that the visa policy encompasses law enforcement agencies, powerful groups, and members of opposing parties.
Primarily, the United States has announced a visa policy aimed at ensuring a free, fair, and peaceful national election in Bangladesh. According to statements from Antony Blinken and Matthew Miller, this policy will restrict the issuance of US visas to individuals and entities in Bangladesh who are responsible for obstructing or interfering with the democratic election process. It’s important to note that Bangladesh’s stock market or its regulatory authority has no direct involvement in the country’s elections. Therefore, it is believed by market stakeholders that neither the Chairman of the Bangladesh Securities and Exchange Commission (BSEC) nor any individuals or organizations associated with the stock market will be affected by the US visa restrictions.
Regarding this matter, when asked, Bangladesh Merchant Bankers Association (BMBA) President Md. Sayadur Rahman told Orthosongbad that if there is no reliable information, these are rumors. BSEC has nothing to do with elections. BSEC is not a direct organization of the government. BSEC is not involved in elections or operational issues of the government. So why should they be brought under the visa ban? It seems to me, it is a completely rumor. Investors should not panic over these rumors and invest based on proper information.
Also inquiring about this from Abdur Razzak, General Secretary of Bangladesh Capital Market Investors Oikya Parishad, told Orthsoongbad that he does not think the US visa policy will be applied to the BSEC chairman. Because he is not an official of any organization related to the election of the country. It is possible that some individuals are spreading such gossip for their own interests.
The leader of the Investors’ Council also stated that regardless of who holds the position of BSEC Chairman, whether they are a practitioner, educator, or anyone else, no one can perform their duties one hundred percent correctly. However, at present, the person holding the position of BSEC Chairman is performing well.
Reviewing the U.S. Stock Markets, the Nasdaq Composite, recorded a decent loss of 1,023 points, reaching a closing value of 16,690 points by the end of the week. Similarly, the S&P 500 index showed a positive trend, losing 240 points to settle at 5,408 points. Meanwhile, DJIA Index experienced a notable hike, adding 1,218 points during the week and concluding at 40,345 points after a week of gaining.
In contrast, Russell 3000 Index saw a loss in week performance, with a slight drop of 141 point to reach 3,077 points by the end of the week.
Moving to Russell 2000 Index, demonstrated a notable lost of 126 points, ending the week at 2,091 points.
In the Outgoing week, the European stock market displayed a mixed performance.
Here is the data on the weekly performance of the European Stock Market, The STOXX Europe 600 index, which is considered a leading benchmark for the European market and covers approximately 90 percent of the market capitalization across 17 countries, reported a loss of 18.49 points to close at 506.56.
The United Kingdom’s FTSE 100, one of the most widely followed indices in Europe, also showed a significant drop, losing 195 points or finishing the session at 8,181.
In Germany, the DAX 30 index, added by 605 points to reach 18,301, while France’s CAC 40 decreased by 278 points to stop at 7,352 at the end of the trading day.
Italy’s FTSE MIB, which covers the top 40 stocks traded on the Milan Stock Exchange, decreased by 1,081 points to 33,291. However, Spain’s IBEX 35, lost by 228 points, to close at 11,173.
A review of South Asian stock markets shows that India’s Bombay Stock Exchange (BSE) index BSE Sensex has lost 1,182 points during the week. At the end of the week, the index stood at 82,365 points. On the other hand, the Nifty-50 index of the country’s National Stock Exchange dropped by 383 points last week. At the end of the week, the index stood at 24,852 points.
Pakistan Stock Exchange Index ‘KSE 100’, added 459 points last week. After a week of losing, the index settled at 79,002 points.
On the other hand, The Sri Lankan stock market index loss, and the Colombo Stock Exchange index ‘ASPI’ decreased by 94 points in a week. After a week the index settled at 10,775 points.
Bhutan’s stock market index ‘BSI’ dropped by 9 points hence the index stood at 1,500 points throughout the whole week. Nepal’s ‘NEPSE’ lost 22 points, therefore the index stands at 2,727 points.
Hence Dhaka Stock Exchange: The benchmark index ‘DSEX’ lost by 75.77 points or 1.31 percent, in the outgoing week. At the end of the week, the index stands at 5,728 points.
