Nepal Stock Exchange (Nepse) last week gained a marginal 1.97 points to close at 1,180.84 points, highlighting the lukewarm response from investors despite a series of reform measures introduced by the Securities Board of Nepal. 

As the market inched upwards slightly, the average daily turnover also rose to Rs369.25 million from Rs323.52 million in the previous week. 

The secondary market that opened at 1,178.87 points on Sunday slid 8.08 points to close at 1,170.79 points. On Monday, the market gained 6.67 points before shedding 0.39 points on Tuesday. The index inclined on Wednesday and Thursday, gaining 2.29 points and 1.48 points respectively.

In overall trading, the market increased marginally by 0.16 percent over the review period. 

Stockbrokers termed the slight increase in the Nepse as market correction. “Although the regulator last week came forth with a number of measures to implement the recommendations of the Finance Ministry panel, it failed to boost investors’ confidence,” said a stockbroker under condition of maintaining anonymity.

The sensitive index that measures the performance of Group ‘A’ companies also increased marginally by 0.59 points to close at 250.65 points with a slight rise in the sub-indices of majority of the blue chip companies including commercial banks.

The average value of shares listed on the stock market also inclined Rs4.81 billion, as the market capitalisation grew to Rs1,412.98 billion from Rs1,408.17 billion in the previous week.

Seven out of the 11 trading groups posted green in their indices.

Life insurance gained the largest of 52.71 points and closed at 6,104.95 points. The sub-index ‘others’ picked up 10.6 points, followed by trading (6.97 points), microfinance (2.25 points), commercial banks (1.7 points), hotels (1.59 points) and finance companies (1.1 points).  

Of the losers, the index of manufacturing dipped the largest of 23.08 points while hydropower went down 12.95 points, non-life insurance 5.86 points. Development banks witnessed a fall of 3.35 points. 

Of the individual companies, Nepal Bank Limited posted shares transaction worth Rs346.3 million, the largaest of all. It was followed by Nepal Credit and Commerce Bank, Prabhu Bank Limited, Nepal Life Insurance and promoters’ shares of Chhimek Laghubitta Bikas Bank. 

Last week, stocks worth Rs1.84 billion were transacted, which was 14.28 percent more than the transaction amount in the previous week. The total number of traded shares also increased to 6,667,164 units from 4,654,130 units. 

Nepse listed 111,530,531.44 units of primary shares during the review period. 

Right Shares/Bonus Shares

Company                                                            Type         Units

Upper Tamakoshi Hydropower                            IPO       105,900,000 

Joshi Hydropower Development Company         IPO        3,714,000

Swadeshi Laghubitta Bittiya Sansthan                Right     1,150,000

Nagbeli Laghubitta Bittiya Sansthan                    Right     766,531.44