Nepse index up by 10.66 points
Kathmandu, September 18:
Nepali shares are virtually on fire as the sole secondary market, Nepal Stock Exchange (Nepse) index, registered a 10.66 points growth today.
Trading at the Nepse floor opened at 817.08 points today morning and closed at 827.74 points.
Though stock pundits predicted a fall in the share prices due to Maoists’ decision to quit the government and possible political instability in the days to come, the stock market shocked everyone by posting a huge growth of 10.66 points.
“Nepali stock market cannot be taken as the real barometer of economic sentiment and it does not follow any market fundamentals,” says one analyst, who does not want to be named.
However, the rise in the Nepse index may be due to rumours in the market that some of the banks’ are distributing rights and bonus shares, and cash dividends.
Everest Bank has announced a 10 per cent cash dividend and 30 per cent bonus shares. Similarly, Standard Chartered Bank is also ‘rumoured’ to distribute almost 80 per cent cash dividend and 2:1 bonus shares.
Nepse has imposed the circuit breaker (trading halt) on the NLIC’s transaction because its shares prices went up by more than ten per cent from the opening price.