Economy News The Rising Nepal (Daily)

Transaction up, NEPSE index slips by 5 per cent

BY A STAFF REPORTER

Kathmandu, Aug 4: The Nepal Stock Exchange (NEPSE) index slipped further during the last week by over five points. The NEPSE index was recorded 322.45 on Monday that fell to 316.92 on Friday.

The stock market of the country has witnessed big fluctuations following the budget speech in mid-July and the overall trend has been downward.

The NEPSE index had seen a substantial 25.49-points rise immediately after the budget, which instantly slumped by 17.61 points in the subsequent week (July 16-20). Last week the index fell by 9.63 points.

Stock market

In the reported week (July 30-Aug 3), the index slipped further despite a big rise in terms of total transaction. There were 953 transactions for 995,924 units of shares worth over Rs. 132 million. In the week preceding it, the floor traded 40,947 units in 985 transactions for Rs. 21.2 million.

Shares of 31 companies out of the 53 enlisted ones were traded last week. It also included a transaction of 60 units of preference shares of Taragaon Regency Hotels Ltd.

So far as the group-wise performance on the NEPSE trading floor is concerned, the index of commercial banking sector decreased from 341.54 to 333.85. Commercial banks sector that generally dominates the market accounted for only 6.50 per cent share in the total rupees’ volume of transaction on the floor in the reported week.

The indices of other sectors either remained constant or fell down with the exception of insurance and finance sector that recorded a slight rise.

The indices of manufacturing and trade sectors remained constant at Rs. 333.98 and 118.11 respectively. The index of hotel sector fell from 265.94 to 247.85 while the insurance and finance sector index rose from 325.93 to 327.91.

Seen in terms of number of transactions, Nepal Merchant Banking and Finance Company topped the list of companies with 468 buy and sell during the week.

But, in terms of the number of shares traded and the total value, Soaltee Hotels Ltd. was the leader. Altogether 920,947 shares of this company were traded for Rs. 107 million during the reported week.

The major closings were Standard Chartered Bank (1900-1995), ) Himalayan Bank (1390-1415), Nepal Bangladesh Bank (930-1025), Everest Bank (630-671), Bank of Kathmandu (480-483), Ace Finance Company Ltd. (480-485), Everest Insurance Company Ltd (451-450).

Nepal Lever Ltd., Nepal Arab Bank Ltd. National Life and General Insurance Company Ltd., United Company Ltd., NIDC Capital Markets Ltd. and HISEF Finance Company Ltd. had only one transaction each during the last week.

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