Nepal Stock Exchange (Nepse) slid 2.22 points to close at 781.46 points last week. The secondary market, which opened at 783.68 points on Sunday fell 3.21 points on Monday before gaining 1.9 points on Tuesday. The market lost a marginal 0.91 points to close the week on Wednesday.
“Such a small loss in stock market shows investors are in wait-and-see mode until a new government is formed,” said Narendra Raj Sijapati, president of Nepal Stockbrokers’ Association. “They are expecting a growth after the government formation.”
Of the nine trading groups, four posted gains. Hydropower companies (up 32.26 points) led the gainers’ side. The hydropower sub-index closed at 1,885.56 points. It was followed by
insurance, finance and development banks sub-groups. Hotels (down 41.47 points) were last week’s top loser, followed by commercial banks, manufacturing and ‘others’.
Sijapati said announcement of rights share issuance by some hydropower companies pushed their sub-index up. The group’s presence in the stock market has been growing.
“The announcement for rights shares by hydropower companies like Arun Valley and Butwal Power Company might have attracted investors.”
The sensitive index, which measures the performance of ‘A’ class companies, shed 0.77 points to close at 172.55 points. Over the review period, the overall market transaction dipped 44.22 percent to Rs 1.11 billion, while the number of shares traded stood at 3,165,477 units. Sijapati said transaction volumes of majority of the companies are not encouraging. “The turnover took a good shape only due to a large volume transaction of mainly the ordinary shares of Nepal Bank and promoters’ shares of Nepal Bangladesh Bank.”
Sijapati, however, expressed hope the market would rise the next week, with increasing possibility of a political consensus for a new government.
source: the kathmandu post,2 feb 2014
LINK
“Such a small loss in stock market shows investors are in wait-and-see mode until a new government is formed,” said Narendra Raj Sijapati, president of Nepal Stockbrokers’ Association. “They are expecting a growth after the government formation.”
Of the nine trading groups, four posted gains. Hydropower companies (up 32.26 points) led the gainers’ side. The hydropower sub-index closed at 1,885.56 points. It was followed by
insurance, finance and development banks sub-groups. Hotels (down 41.47 points) were last week’s top loser, followed by commercial banks, manufacturing and ‘others’.
Sijapati said announcement of rights share issuance by some hydropower companies pushed their sub-index up. The group’s presence in the stock market has been growing.
“The announcement for rights shares by hydropower companies like Arun Valley and Butwal Power Company might have attracted investors.”
The sensitive index, which measures the performance of ‘A’ class companies, shed 0.77 points to close at 172.55 points. Over the review period, the overall market transaction dipped 44.22 percent to Rs 1.11 billion, while the number of shares traded stood at 3,165,477 units. Sijapati said transaction volumes of majority of the companies are not encouraging. “The turnover took a good shape only due to a large volume transaction of mainly the ordinary shares of Nepal Bank and promoters’ shares of Nepal Bangladesh Bank.”
Sijapati, however, expressed hope the market would rise the next week, with increasing possibility of a political consensus for a new government.
source: the kathmandu post,2 feb 2014
LINK
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