Kathmandu, September 23:

Nepal Stock Exchange (Ne-pse) index dropped by 32.10 points or 3.65 per cent to 847.86 points today.

“It might be a little price correction,” says Dr Chiranjibi Nepal, chairman of the Securities Board of Nepal.

Consumer awareness is the key to healthy growth of capital market otherwise it will hit real sector hard. “Nepse should reflect total economy. But it seems, the market has been manipulated by a small group and investors are investing on whims not on real information,” he says adding that investors should be aware.

Earlier last week, Nepse has closed at a historic high of 879.96 points. But the growth has been termed ‘unnatural’ as it did not reflect overall economy. Recent political uncertainty and lowering GDP do not justify the recent growth.

Similarly, Banking sub-index, the market leader, led by Nabil Bank, also dropped by 50.40 points or 4.98 per cent to 961.63 poi-nts. Nabil’s share price has dropped by Rs 1,700 per unit today.

“Nepse index has fallen due to book closure of Nabil bank,” states Nepse report. Agrees Anil Shah, CEO of Nabil Bank, “The book closure might be one of the reasons of price fall.”

“I was always amased on how the share prices have gone so high in the first place,” he said adding that its no surprise that it has came down. A buyer, who buys a share after the book close does not get any dividend or bonus shares.

Share prices of Nepal Investment Bank also drop-ped by Rs 152 and Standard Chartered Bank’s by Rs 150 per unit share today.

Following the fall in prices, the Nepse has with effect from today brought some more regulations to regulate the market.