The main index of the Dhaka Stock Exchange (DSE) gained 17 points, or 0.3 per cent, during the week from September 13 to 17 as government assurances over resolving industrial gas supply constraints and regulatory engagement with leading brokers helped improve investor sentiment.

The capital market started the week on a weak note as persistent concerns over the nationwide energy crisis and renewed geopolitical tensions in the Gulf region pushed the DSEX below the 5,400-point level. Investors remained cautious amid uncertainty over the impact of energy shortages on industrial production and corporate earnings.

However, the market recovered in the latter half of the week as policy-level developments helped restore some confidence. Investors also showed renewed interest in beaten-down stocks, allowing the benchmark index to gain for three consecutive sessions, according to EBL Securities.

The DSEX, the broad index of the Dhaka Stock Exchange, closed at 5,532 points, up from 5,515 points in the previous week. The DS30, comprising blue-chip stocks, gained 0.3 per cent to 2,101, while the DSES, representing Shariah-based stocks, rose 0.2 per cent to 1,107.

Market activity remained largely stable. Average daily turnover increased marginally by 0.1 per cent to Tk 5.55 billion, while the average number of trades rose 1.1 per cent to 169,545. Average daily volume increased 2.3 per cent to 204 million shares.

Investors were most active in the textile sector, which accounted for 25.7 per cent of total turnover, followed by general insurance at 15.6 per cent and banking at 11.1 per cent. Pharmaceuticals and chemicals contributed 10.2 per cent, while mutual funds accounted for 6.9 per cent of turnover.

Most sectors recorded mixed returns during the week. Cement led the gains with a 1.7 per cent rise, followed by general insurance at 1.5 per cent and banking at 1.1 per cent. Food and allied stocks gained 0.8 per cent, while textile stocks rose 0.4 per cent.

On the losing side, life insurance fell 1.3 per cent, followed by miscellaneous and mutual funds, both declining 1.2 per cent. Ceramics fell 1.1 per cent and IT stocks declined 0.9 per cent.

At the individual-stock level, Al-Haj Textile emerged as the biggest gainer, rising 20.6 per cent during the week, followed by BNICL, which gained 18.4 per cent, and Apex Spinning, up 18.0 per cent.

On the losing side, BD Thai Food fell 15.9 per cent, followed by Saif Power with a 10.3 per cent decline and Far East Life Insurance, which dropped 10.1 per cent.

Envoy Textiles was the most actively traded stock, accounting for Tk 198 million in average turnover, followed by Sharp Industries at Tk 191.9 million and EBL at Tk 165.6 million.

The market's total capitalisation stood at Tk 6,923.7 billion, slightly down from Tk 6,930.7 billion in the previous week. The market's forward price-to-earnings ratio remained at 10.1, while the price-to-book ratio stayed at 1.2.

The market's technical indicators also improved during the week. The RSI-DSEX rose to 41.9 from 28.4, while the MFI-DSEX increased to 54.2 from 38.4, according to the weekly market review.

Despite the weekly recovery, investor sentiment remained subdued as the energy crisis and geopolitical uncertainties continued to pose risks to economic activity and corporate profitability. EBL Securities noted that the government's assurances on industrial gas supply and engagement with brokers helped the market recover from its prolonged downturn.