The approaching Dashain and less than expected dividend declaration has
affected the share market turnover as stock prices started to dip this
week —September 22 to 26.
The Nepse index declined by 7.26 points as the fast approaching Dashain is not encouraging investors to engage in stock trading.
Moreover, despite the nearing of book closure of many companies investors are not in a buying mood for the declared dividends failed to excite them. Most of the financial institutions including banks such as Standard Chartered Bank, Everest Bank and Bank of Kathmandu failed to meet investors’ expectations of lucrative stock dividend.
On Sunday afternoon, the market had opened at 548.65 points, which slumped to 541.19 points by the time the market closed. In the next three days, it kept hovering around 541 points. By Wednesday, it inched up to 543.02 points. However, index rested at 541.39 points on Thursday when the market closed for the week.
This week, Nepse’s trading floor observed transactions of 2.05 million units of shares worth Rs 546 million being traded in 8026 transactions. Last week, 2.1 million units of shares worth Rs 587 million were traded in 8181 transactions.
This week’s transaction volume declined by seven per cent as investors are refraining from taking action.
Share trading of blue chip stocks belonging to the class ‘A’ group comprised of 51.49 per cent of total transactions, amounting to Rs 281.1 million. The sensitive index that shows the performance of class ‘A’ stocks declined by 1.69 points. However, the float index that measures the performance of the shares actually traded also went down by 0.45 points to 38.57 points.
This week, hotels, hydropower, finance companies and development banks reported gains while the rest of the subgroups — commercial banks, manufacturing, others, insurance and trading recorded a decline in share prices.
Soaltee Hotel registered a gain of Rs 27 that pushed hotels subgroup up by 27.5 points. Likewise, Chilime Hydropower Company’s shares earned Rs 12 and Butwal Power Company earned Rs two per unit and the hydro subgroup went up by 8.77 points. Finance companies and development banks registered gains of 0.95 points and 0.18 points, respectively.
The insurance subgroup was the biggest loser of the week and registered a decline of 42.89 points as companies such as LIC Nepal and National Life lost Rs 80 and Rs 32 per unit, respectively, among others.
Banking went down by 9.88 points as banks such as Everest Bank and Standard Chartered Bank lost Rs 66 and Rs 77 per unit, respectively. Manufacturing also dipped by 27.43 as Unilever lost Rs 200 per unit and Bottlers Nepal Tarai slumped by Rs 250 a unit. Nepal Telecom’s share price declined by Rs two and others subgroup went down by 2.35 points.
This week, Kailash Bikas Bank topped the charts in terms of transaction volume and number of shares traded with trading of 237,890 unit shares worth Rs 49.7 million. Mega Bank Nepal was the forerunner in terms of number of transactions with 1487 transactions.
The top five companies this week in terms of transaction volume were Kailash Bikas Bank (Rs 49.77 million), Nepal Bangladesh Bank Ltd (Rs 38.29 million), Chilime Hydropower Company (Rs 27.65 million), Nabil Bank Ltd (Rs 27.27 million), and Soaltee Hotel (Rs 25.06 million).
source: the himalayan times,28 Sep 2013
LINK
The Nepse index declined by 7.26 points as the fast approaching Dashain is not encouraging investors to engage in stock trading.
Moreover, despite the nearing of book closure of many companies investors are not in a buying mood for the declared dividends failed to excite them. Most of the financial institutions including banks such as Standard Chartered Bank, Everest Bank and Bank of Kathmandu failed to meet investors’ expectations of lucrative stock dividend.
On Sunday afternoon, the market had opened at 548.65 points, which slumped to 541.19 points by the time the market closed. In the next three days, it kept hovering around 541 points. By Wednesday, it inched up to 543.02 points. However, index rested at 541.39 points on Thursday when the market closed for the week.
This week, Nepse’s trading floor observed transactions of 2.05 million units of shares worth Rs 546 million being traded in 8026 transactions. Last week, 2.1 million units of shares worth Rs 587 million were traded in 8181 transactions.
This week’s transaction volume declined by seven per cent as investors are refraining from taking action.
Share trading of blue chip stocks belonging to the class ‘A’ group comprised of 51.49 per cent of total transactions, amounting to Rs 281.1 million. The sensitive index that shows the performance of class ‘A’ stocks declined by 1.69 points. However, the float index that measures the performance of the shares actually traded also went down by 0.45 points to 38.57 points.
This week, hotels, hydropower, finance companies and development banks reported gains while the rest of the subgroups — commercial banks, manufacturing, others, insurance and trading recorded a decline in share prices.
Soaltee Hotel registered a gain of Rs 27 that pushed hotels subgroup up by 27.5 points. Likewise, Chilime Hydropower Company’s shares earned Rs 12 and Butwal Power Company earned Rs two per unit and the hydro subgroup went up by 8.77 points. Finance companies and development banks registered gains of 0.95 points and 0.18 points, respectively.
The insurance subgroup was the biggest loser of the week and registered a decline of 42.89 points as companies such as LIC Nepal and National Life lost Rs 80 and Rs 32 per unit, respectively, among others.
Banking went down by 9.88 points as banks such as Everest Bank and Standard Chartered Bank lost Rs 66 and Rs 77 per unit, respectively. Manufacturing also dipped by 27.43 as Unilever lost Rs 200 per unit and Bottlers Nepal Tarai slumped by Rs 250 a unit. Nepal Telecom’s share price declined by Rs two and others subgroup went down by 2.35 points.
This week, Kailash Bikas Bank topped the charts in terms of transaction volume and number of shares traded with trading of 237,890 unit shares worth Rs 49.7 million. Mega Bank Nepal was the forerunner in terms of number of transactions with 1487 transactions.
The top five companies this week in terms of transaction volume were Kailash Bikas Bank (Rs 49.77 million), Nepal Bangladesh Bank Ltd (Rs 38.29 million), Chilime Hydropower Company (Rs 27.65 million), Nabil Bank Ltd (Rs 27.27 million), and Soaltee Hotel (Rs 25.06 million).
source: the himalayan times,28 Sep 2013
LINK
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