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Kathmandu Sunday February 17, 2002 Falgun 05, 2058.
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Index declines, confidence low
Post Report
KATHMANDU, Feb 16: Blighted by the shrinking
investors’ confidence, the downturn trend of Nepal Stock Exchange (Nepse) index
continued for yet another week and recorded a slid by further 1.24 points during the week.
The index that opened at 236.06 points on the
opening day tumbled to 234.82 points on the closing day of the week. The Nepse index had
plunged by massive 12 points during the last week.
The decline in the index is attributed to the
poor performance of the groups enlisted with Nepse resulting in erosion of confidence of
valued as well as speculative investors, which reflects their pessimism towards the
economic recovery given the current business scenario.
Group-wise trading during the week reveals that
except for the development banks none of the groups managed to recover their index. The
index of development bank group during the week went up marginally to 282.05 points on
Friday against 281.57 points recorded on Monday.
The commercial banks group, which stands as the
dominant group in the trading floor of the Nepse and determines the Nepse index as a whole
tumbled by 0.77 points, settling at 224.46 points on Friday from 225.23 points recorded on
Monday.
The eroded investors’ confidence is
distinct in case of finance companies group, as the index of the group recorded a whopping
decline by over 10 points. The index of the group fell to 275.53 points from 286.09 points
during the week.
The index of the manufacturing group, hotels
group and insurance group too slid to 304.92 points, 221.01 points and 285.10 points from
305.5o points, 222.17 points and 285.57 points during the week respectively.
Meanwhile, Trading group and other group stood
at 102.44 points and 140.13 points throughout the week respectively.
As usual, the commercial bank group dominated
the trading on the floor of the Nepse capturing 67.50 per cent of the total trading. It
was followed by development bank group at 14.78 percent, finance company group at 11.81
percent, hotel group at 3.06 percent, Insurance group at 1.84 percent, manufacturing group
at 1 percent and other group at 0.01 percent.
This week shares of total 38 companies were
traded in the stock exchange. 34,038 share units worth Rs 10.57 million were traded in
total 1057 transactions carried out during the five-day week. Last week 49,804 share units
valued at Rs 15.33 million were traded in total of 1557 transactions.
Nepal Development Bank dominated the share
transaction during the week. A total of 9490 share units of this bank were traded in 526
transaction during the period. Meanwhile, Nepal Bangladesh Bank topped the share
transactions in monetary terms during the week. The trading of the bank valued at Rs 1.80
million.
Companies that had shares transaction throughout
week include NB Bank, Everest bank, Bank of Kathmandu, NIC bank, Nepal Development Bank,
Oriental Hotels, Nepal Merchant Bank and Finance.
Similarly, companies whose shares were traded
for four days include Nabil Bank, Standard Chartered Bank, Nepal SBI Bank, Siddhartha
Finance, Alpic Finance and Nepal Bangladesh Finance and Leasing.
Meanwhile, Gorakhkali Rubber, Nepal Lever,
National Finance, People’s Finance, Ace Finance, Samjhana Finance and Paschimanchal
Finance had share transaction only once during the week. |
