KATHMANDU, Jan 3: Adding up to prior day’s gains, stocks continued to trade in green on Monday. The equity market climbed above 2,600 mark in the morning and traded mostly higher in the session. At the close, Nepse posted a gain of 2,616.94 points to end trading at 2,616.94.
Extending the mid-December recovery, the local bourse has found enthusiasm from buyers entering into 2022. With investors switching sectors, stocks made an upbeat start to the year. Turnover also improved as over Rs. 4.5 billion worth of equities changed hands on the day.
Microfinance stocks saw notable buying pressure to close almost 3% higher. Finance segment also added 2.05%. All other sectors saw green barring Manufacturing & Processing group which fell marginally in negative territory.
Nepse ends lower after four-day gaining run
Shares of Himalayan Distillery Ltd were traded the most with a turnover of Rs. 284 million. Api Power Company Ltd, Shivam Cements Ltd and Nabil Bank Ltd registered turnovers of Rs. 183 million, Rs. 163 million and Rs. 149 million. Nepal Bangladesh Bank Ltd, Gurkhas Finance Ltd and Citizen Investment Trust were the other major actives.
Madhya Bhotekoshi Jalvidhyut Company hit the upper circuit limit of positive 10%. Gurans Laghubitta Bittiya Sanstha Ltd, NIC Asia Laghubitta Bittiya Sanstha Ltd and Salt Trading Corporation saw gains of over 8% each. Mainly Microfinance stocks dominated the list of gainers on the day along with few finance and development bank scrips.
Ru Ru Jalbidhyut Pariyojana Ltd, on the other hand, suffered the most ending 2.59% lower. Nepal Bangladesh Bank Ltd, Kalika Power Company Ltd, Lumbini General Insurance Company Ltd, United Insurance Company Ltd and Surya Life Insurance Company Ltd also added more than 2%.
As per the ARKS technical analysis, the index formed a small bullish candlestick to cross 2,600 mark. A downward trend line level is also broken suggesting bulls taking control. However, a sustained trading above 2,600 mark will substantiate the current recovery. Both MACD and RSI reflect short term upward move.
This column is produced by ARKS Capital Advisors Ltd.
(Views expressed in the article are those of the producer and do not necessarily reflect those of this publication)
