KATHMANDU, May 12: Nepal Stock Exchange (Nepse) index posted a gain of 29.6 points to close at 1,658.58 points on Thursday -- the last trading day of the week.
The stock market rallied this week as the country moved toward local level polls.
However, the market did not seem bullish. Though the rebound seen this week is attributed to preparation for the local level polls, the surge in value of stocks was not so high compared to the previous elections when investors used to be on a buying spree.
“The market remained largely stable this week. Since the elections are going to be held in two phases, many investors feel that the second phase is still uncertain as Madhesi parties are saying that they would participate in the polls only after the constitution is amended,” Anjan Raj Poudyal, the former president of Stock Brokers Association of Nepal (SBAN), said. He further added that the market course will depend on the political developments, second phase election, and the budget for the upcoming fiscal year 2017/18.
All trading groups logged gains this week. Insurance was the highest gainer of the week as its sub-index climbed up 149.64 points to close at 8,922.16 points. Hotels group ended 90.12 points higher at 2,258.06 points. The sub-indices of Development Bank and Banking groups went up by 38.68 points and 18.63 points, respectively, to close the week at 1,978.9 points and 1,500.86 points. 'Others' group went up 19.09 points to end the week at 697.02 points. Finance group posted a gain of 14.77 points and ended at 774.22 points, while the Manufacturing and Processing sub-index closed 18.05 points higher at 2,203.34 points. Trading group also inched up 1.41 points to settle at 212.76 points.
Nepal SBI Bank Ltd topped the list of companies in terms of turnover (Rs 160 million), while World Merchant Banking and Finance Ltd (Promoter Shares) was at the top in terms of number of shares traded (497,000). Similarly, Arun Kabeli led the list of companies in terms of number of transactions (2,336).
A total of 4.99 million units of shares of 153 companies worth Rs 2.8 billion were traded in the market this week through 24,471 transactions.
Bonus shares of Om Development Bank, Manaslu Bikas Bank Ltd, Mega Bank Ltd and Sewa Bikas Bank Ltd were listed in Nepse for trading this week. Similarly, rights issue of Mega Bank Ltd and Sewa Bikas Bank Ltd were also listed for trading this week.