KATHMANDU, Sept 14: Nepal Stock Exchange (Nepse) has moved to green territory in a corrective mode after bearish trend over last week´s trading. The benchmark Nepse rallied by 2.55 points and 11.1 points to 617.34 points and 628.44 points on Sunday and Monday respectively. [break]
Share analysts, however, see no specific reason behind the dead cat bounce in Nepse index for two trading sessions in a row.
“Share market has come to corrective mode after a few days of slackness, as investors are showing more interest to buy the shares whose prices have gone down significantly over the week,” Nanda Kishore Mundada, president of Nepal Stock Brokers´ Association, told myrepublica.com.
Mundada also said stock market would further consolidate for next couple of days amid rising buying pressure.
The dominant Banking group´s double digit gain played significant role in pushing Nepse up during Monday´s trading session. The Banking group recorded a rally of 18.41 points to close at 625.29 points with the rise in share prices of key banks, including Bank of Kathmandu, Bank of Asia Nepal, Citizens Bank International, Everest Bank, Kumari Bank, Nabil Bank, NIC Bank, SBI Bank and Standard Chartered Bank.
Sub-indices of Hydropower and Finance group also went up by 8.17 points and 1.53 points to close at 843.18 points and 638.71 points respectively. Similarly, Others group also saw its sub-index rise by 8.22 points to close at 661.46 points. However, Development Bank and Insurance groups lost their sub-indices by 17.31 points and 1.1 points to end at 648.1 points and 627.58 points respectively.
Total turnover reached to Rs 65.77 million at the end of Monday´s trading with 99,298 units of shares and 63 scrips changing hands through 777 transactions. Total market capitalization has touched Rs 437.2 billion.