The benchmark index, which opened at 546.55 points on Sunday, closed at 542.633 points on Thursday - the last trading day of the week.
“The secondary market remained largely stable this week,” Anjan Raj Poudyal, former president of Nepse Stock Brokers Association Nepal, told Republica. “Despite decrease in bank rates and publication of better financial reports by the listed companies for the fourth quarter of 2012/13, investors were hesitant to put more money on the stocks after Sebon allowed listed companies to convert additional 19 percent of their promoter shares into ordinary shares.” [break]
As the notification regarding conversion of promoter shares of six commercial banks into ordinary shares was published on Monday, investors feared it will flood the stock market and thus created selling pressure, according to Poudyal.
According to Nepse, a total of 2.07 million units of shares worth Rs 676.1 million were traded through 9,177 transactions this week. The trading amount was down by 22 percent compared to the previous week.
Only the Hotels, Insurance and Development Bank groups ended in green this week. While the Hotels sub-index increased by 16.14 points to 668.19 points, the sub-indices of Insurance and Development Bank increased by 13.51 points and 0.89 points, respectively, to 1,117.86 points and 265.34 points.
However, Hydropower, Commercial Banks, Others and Finance groups closed the week in red. The Hydropower sub-index dropped by 22.58 points to 1,225.86 points, while the sub-indices of Commercial banks, Others and Finance groups went down by 6.2 points, 2.35 points and 1.01 points to 537.02 points, 652.06 points and 263.58, respectively
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