Nepse dips for nine consecutive days

After posting significant gains, Nepal Stock Exchange (Nepse) suffered losses in nine consecutive days to close at 690.32 points on Monday.

The benchmark Nepse lost 3.32 points or 0.48 percent at the end of the Monday´s trading session. The Nepse saw decline in its index with all major trading groups losing their sub-indices during the session.

Stock analysts say Nepse´s travel to red territory is a corrective move after unnatural bullish trends seen in the last few days.

“Earlier, Nepse rose out of proportion as investors were encouraged following the recent budget speech, which brought relief to them by lowering the capital gain tax to 10 percent from 15 percent. However, the market couldn´t withstand the gains for a long time,” said Nanda Kishore Mundada, president of Nepal Stock Brokers´ Association.

According to Nepse, Banking group, the key player in Nepal´s secondary market, lost 5.69 points to drop at 714.57 points. Similarly, Development bank and Others groups also witnessed their sub-indices dip by 2.92 points and 1.17 points to 728.44 points and 662.64 points respectively.

However, Hydropower and Finance groups moved to the green zone with their sub-indices inching up by 0.32 points and 2.76 points at 945.13 points and 680.75 points respectively. Similarly, Insurance group also edged up marginally by 0.13 percent to 645.81 points.

During Monday´s trading session, total stock turnover totaled Rs 76.33 million with 134,469 units of shares changing hands through 1,024 transactions. Total market capitalization, total worth of shares, reached Rs 474.26 billion at the end of the trading session.
Source: Republica