Steep fall in transaction of shares with a slight decline in NEPSE index

By A STAFF REPORTER

Kathmandu, Oct 20: Despite harrowing fall in the transactions of share in the stock market there has been a slight decline of NEPSE index because of no decline in price of shares of companies.

A total of 13,975 shares equivalent to 71,17,975 rupees was traded through 286 transactions, which include ten preference shares of Taragaun Regency Hotel. Ten preference of Taragaun was traded in 810 rupees through one transaction. Last week a total of 53,288 share amounting to 223,08811 rupees were traded through 748 transactions. The main reason behind the steep fall in the transaction of shares is Vijaya Dashami, said Parameshwor Malla, a stockbroker. People do not want buy shares during this season, he said. The transaction would go up after Vijaya Dashami and Dipawali, he said adding ‘ there is no other economic reason behind the fall of transaction of shares in the NEPSE trading floor.’

The NEPSE index has declined by 0.04 this week. The index, which was 282.79 on Monday, scaled down to 282.75 on Friday. In group-wise transactions, commercial banks are ahead of other companies registered in the NEPSE for transaction. The index of commercial banks this week declined to 290.57 from 290.88 this week, whereas the index of manufacturing sector remained to 309.57 and index of hotel sector also remained to 244.39. The index of trading sector has gone up to 99.73 from 95.03, whereas index of insurance and financial sector has also scaled down to 307.85 from 308.07. The index of other miscellaneous sector has remained to 152.68 this week.

Out of total transactions in the NEPSE, commercial banks occupy 67.13 per cent, hotel sector with 0.16 per cent, trading sector with 10.7 per cent and insurance sector with 0.75 per cent. Similarly financial sector occupies 21.21.

The manufacturing and other sectors did not have any transactions throughout the week. Around 25 transactions in purchase took place each day and 14 transactions took place in sales each day.

In terms of transactions, Nepal Merchant and Finance Limited is ahead of other companies. It had 47 transactions, whereas in terms of number of shares and amount, Bank of Kathmandu (BoK) has left other companies behind. A total of 2594 shares belonging to BoK were traded in 10,22,425 rupees.

Among the companies having transactions throughout the week were Nepal Bangladesh Bank (Rs 940), BoK (Rs395-399).

Nepal Bank Ltd. (Rs311-325), Himalayan Bank Ltd (Rs 1275), Nepal Merchant Bank and Finance Co. Ltd (Rs 245) and Siddhartha Finance Co. Ltd (Rs 176-175).

Similarly Salt Trading Company (Rs 186/59,706), Bishal Bazar Company (503/704200), Citizen Investment Fund (10/2000), Nepal Housing Development and Finance Company (20/2360) and Lalitpur Finance Company Ltd (500/225,000) had recorded transaction for a single day throughout the week.