B Mirror Report: The country’s two stock exchanges the Dhaka Stock Exchange (DSE) and the Chittagong Stock Exchange (CSE) tumbled sharply today as escalating geopolitical tensions in the Middle East triggered widespread selling pressure.

Nervous investors adopted a cautious stance, opting to remain watchful of market trends amid growing uncertainty.

The benchmark index of the DSE, DSEX, plunged 209.0 points or 3.8 percent to close at 5,325 points, down from 5,534 points in the previous trading session.

The market opened under heavy selling pressure across almost all sectors, which intensified as trading progressed throughout the day. Investors were concerned about the potential macroeconomic fallout of the ongoing Middle East tensions, particularly the risks of fuel and power supply disruptions that could impact the domestic economy.

Adding to the uncertainty, speculation regarding a possible transition in regulatory leadership created further confusion in the market, prompting investors to remain cautious and contributing to the sharp decline in indices.

Despite the downturn, market turnover rose by 13.5 percent to Tk 8.9 billion, compared to Tk 7.8 billion in the previous session.

Sector-wise, the banking sector dominated turnover with 26.6 percent of total transactions, followed by pharmaceuticals at 14.6 percent and textiles at 8.6 percent. All sectors ended in negative territory, with the food sector suffering the highest loss at 6.3 percent, followed by information technology and life insurance, both declining by 5.6 percent.

Out of 397 traded issues, only 31 advanced, while 344 declined and 22 remained unchanged.

Meanwhile, the Chittagong Stock Exchange also experienced a steep fall. The Selective Categories’ Index (CSCX) dropped by 270.0 points, while the All Share Price Index (CASPI) shed 414.2 points at the close of trading.