Nepse in corrective mood

Kathmandu, August 16:

Nepal Stock Exchange Ltd (Nepse) this week corrected itself a little — as it shed 16.60 points to 1084.76 points from the last week’s closing of 1101.36 points — which was expected after a huge record.

Though, the market shred some points, the transacted amount has increased by 80.40 per cent than last week. The equities market is going to be on a roll for ‘still’ some time because of the starting of the fiscal year.

The financial institutions have started to announce the bonus and rights shares, and cash dividends prompting investors to buy shares at high prices in the secondary market.

However, investors should be careful while checking the unaudited reports as there might have huge variation when they are finally audited by the central bank.

The market opened in red zone as it lost 25.85 points on Sunday from last week’s closing of 1101.36 points. However, it gained 13.40 points to 1088.91 points on Monday. Tuesday witnessed another correction as the Nepse lost 3.88 points to 1085.03 points.

It further lost 5.45 points to 1079.58 points on Wednesday. But the market closed on Thursday, the last day of trading at Nepse, in the green zone with Nepse adding 5.18 points

to close at 1084.76 points. The secondary market

ended in the green zone on two days of the five days trading this week.

The index of the sole secondary market is still looking up and will set another record soon,

except for some corrections here and there.

The commercial banks group — one of the key players in Nepse — lost 23.36 points to 1143.62 points from last week’s closing of 1166.98 points, pulling the Nepse down.

The contribution of companies listed under ‘A’ category in the financial companies dominated market, is increasing every week. It contributed to 76.10 points against last week’s 71.10 per cent to the total transactions. However, the sensitive index — a barometer of A category companies — lost 5.04 points to 290.15 points from last week’s closing of 295.19 points.

Nepal Investment Bank Ltd with Rs 87.29 million, Bank of Kathmandu with

Rs 67.62 million, Nepal Credit and Commerce (NCC) Bank with Rs 57.33 million, Nepal Industrial and Commercial (NIC) Bank with Rs 39.54 million and Kist Merchant Finance with Rs 36.89 million are the top five gainers in terms of monetary value this week.

Similarly, in terms of number of transactions and share traded Nepal Credit and Commerce (NCC) Bank topped the chart with 298 transactions and 1,07,000-unit of shares being transacted.

Nepse witnessed a transaction of 78 companies this week against last week’s 67 companies.

This week too Nepse, as usual, didnot see any transaction of bonds and debentures. However, Nepse listed a 15,00,00,000-unit of Nepal Telecom shares that will be traded from next week.