Kathmandu, November 7

While the current political uncertainty continues to cloud investor sentiment, news and speculations of possible breakthrough in negotiations with the agitating parties caused Nepal Stock Exchange (Nepse) index to see-saw during the trading week.

Consequently, the loss witnessed in the country’s only secondary market was relatively muted with the benchmark index sliding by 1.36 points or 0.12 per cent week-on-week to 1,090.68 points, from November 1 to 5.

Opening on Sunday at 1,092.04 points, Nepse had shed 3.74 points by the day’s closing. However, it nearly recovered all the loss by edging up 3.53 points the next day, on positive political cues. On Tuesday, however, the local bourse dropped 5.96 points as talks with the Madhes-based agitating parties failed. But then it rebounded again the next day by adding 6.43 points. On Thursday, Nepse dipped again, but managed to limit the slide to 1.62 points.

Altogether 1.84 million shares of 141 companies worth Rs 926 million were traded through 6,284 transactions. The traded amount was 15.12 per cent higher than the preceding week when 5,647 transactions of 1.33 million scrips of 166 firms worth Rs 804.43 million had been undertaken.

The sensitive index, which gauges the performance of class ‘A’ stocks, dropped 0.05 points to 235.78 points. Likewise, the float index that measures the performance of shares actually traded also shed 0.26 point to settle at 77.59 points, during the review period.

Trading continued to remain constant at 207.97 points, but the result for the rest of the subgroups was mixed, with four sub-indices dropping and four rising.

Nepal Telecom’s share value rising by Rs 20 to Rs 655 helped the others subgroup take the lead among the gainers, with the sub-index ascending by 3.15 per cent to 769.51 points.

Hydropower gained 2.27 per cent to 1,993.2 points on the back of Chilime’s stock price going up by Rs 55 to Rs 1,400 and of Arun Valley by Rs 34 to Rs 299. Unilever surged by Rs 520 to Rs 26,520, which helped manufacturing edge up 1.43 per cent to 1,913.12 points.

Even as Oriental’s stock price dropped by Rs 51 to Rs 541, hotels subgroup managed to inch up 0.96 per cent to 1,796.3 points as Soaltee’s share value rose by Rs 12 to Rs 420.

Conversely, the insurance subgroup descended 1.07 per cent to 4,547.96 points with firms like Life Insurance Co Nepal losing Rs 33 to Rs 3,206.

ICFC Finance saw its stock price plummet by Rs 62 to Rs 223 and International Leasing and Finance slipped Rs 12 to Rs 217, which dragged the finance subgroup down 0.68 per cent to 553.18 points.

The banking subgroup retreated by 0.66 per cent to 1,009.6 points, weighed down by Nepal Investment’s share value diving by Rs 284 to Rs 718 and Nabil down Rs 29 to Rs 2,250, among others.

Development banks was down 0.39 per cent to 918.76 points as Swabalamban Bikas Bank’s stock price lost Rs 35 to Rs 2,020 and Sahayogi Bikas Bank dropped Rs 34 to Rs 398.

Nepal Bangladesh Bank topped the chart in terms of number of shares traded and turnover with 147,000 of its scrips changing hands that amounted to Rs 87.54 million. Second in line in terms of highest weekly turnover was Everest Bank with Rs 70.04 million, followed by Nabil Bank (Promoter Share) with Rs 56.64 million, Chilime Hydropower with Rs 39.3 million and Sanima Bank with Rs 38.58 million.

Meanwhile, Barun Hydropower Co took the lead in number of transactions this week as well by clocking 675 deals.