Nepse dips on political uncertaintyNepal Stock Exchange (Nepse) last week lost 11.34 to close at 1,463.13 points last week on Thursday.
Nepal Stock Exchange (Nepse) last week lost 11.34 to close at 1,463.13 points last week on Thursday.
The market that opened at 1,474.47 points on Monday posted losses throughout the week. The week’s biggest loss came on Thursday when the benchmark index dropped 4.98 points.
Stockbrokers attributed the fall to reports about a possible change in the government and the Central Bureau of Statistics’ (CBS) economic growth projection of just 0.7 percent for this fiscal year, which dented investors’ confidence. “However, the UCPN (Maoist) hinting at continuing its support to the incumbent government on Thursday prevented a massive fall,” said Narendra Raj Sijapati, managing director of Kalika Securities.
Priya Raj Regmi, president of Stockbrokers’ Association of Nepal, echoed Sijapati. He said investors were sceptical about timely budget presentation. “In addition, the CBS’ projection of low economic growth affected the market,” he said.
The group representing hotels (up 47.14 points) was the sole gainer last week. The insurance group (down 72.83 points) led the losers’ side, including hydropower companies, development banks, commercial banks, manufacturing, others and finance companies. The trading group was stable at 201.38 points. The sensitive index that measures the performance of ‘A’ class companies was down 2.48 points to 316.96 points. The transaction volume decreased 30.73 percent to Rs3.18 billion.
Everest Bank posted the highest individual transaction of Rs247.01 million. It was followed by Nepal Bangladesh Bank, NIC Asia Bank, Nepal Investment Bank and Nepal Bank. Siddhartha Investment Growth Scheme-1 led in terms of the number of shares traded (569,000 units). Meanwhile, Nepse listed bonus shares of Pokhara Finance, Shree Investment Finance, Sewa Bikas Bank, Mithila Laghubitta Bikas Bank, NMB Bank, Mahalaxmi Finance, Civil Bank and Miteri Development Bank during the period under review.'