KATHMANDU, May 28: Taking corrective course after four days of upward spiral, Nepal Stock Exchange (NEPSE) index lost a whopping 21.27 points to close at 718.62 points on Thursday´s trading. [break]
During last four days, NEPSE index-the barometer of investor´s confidence, had gained more than 50 points responding positively to the formation of non-Maoist government.
The consumer confidence dipped to its lowest during Maoist-led government which showed its negative attitude toward capital market.
Nepse loses over 60 points as stock rout continues
Share analysts said the corrective mode of NEPSE is natural.
“NEPSE can´t remain overheated forever. Loss in NEPSE after few days of double digit gain is normal phenomenon and this trend would continue for few months,” said Nanda Kishore Mundada.
Mundada claimed that Thursday´s loss in NEPSE came as a result of selling pressure of shares as investors are rushing to sell their shares to take advantage of soaring prices.
Staggering losses in major sub-indices like Banking, Hydropower and Others also pulled down NEPSE during Thursday´s trading. Banking and Development Bank sub-indices dipped 32.37 points and 4.41 points to close at 736.55 points and 757.26 points respectively. Similarly, sub-indices of Hydropower and Finance group also plunged to 30 points and 3.8 points to finish at 888.88 points and 759.55 points respectively. Others group´s sub-index also took nose-dive 14.1 points to close at 716.67 points.
However, sub-indices of Trading and Insurance group rose 5.06 points and 10.21 points to reach at 281.78 points and 650.77 points respectively. Manufacturing group´s sub-index also gained 2.86 points to 434.42 points. Total 106,208 shares worth Rs 89.26 million were changed hand through 773 transactions. Total market capitalization-total worth of share in the stock market- reached Rs 460.40 billion.
