The benchmark index surges 111.20 points or 6%
KATHMANDU, DECEMBER 10
The Nepal Stock Exchange (NEPSE), encountered its third consecutive circuit break on the first trading day of the week, prompting a complete halt in trading at 12:09 pm. The market exhibited a remarkable 4% surge from previous day within five minutes of opening, triggering the initial circuit break and imposing a 20-minute pause.
Resuming at 11:25 am after the first halt, the index swiftly rose by 5% within two minutes, prompting a second positive circuit break at 11:27 am. This led to a 40-minute trading suspension. When the market reopened at 12:07 pm, a 6% increase from the previous day caused a complete halt for the remainder of the day at 12:09 pm.
According to regulations, a 4% movement within an hour results in a 20-minute trading halt. A 5% movement within two hours triggers a second circuit break, halting trading for 40 minutes. A 6% movement at any time results in the closure of the market for the day.
On Sunday, the benchmark index soared to 1,963.98 points, marking a significant 6.00% increase of 111.20 points. The daily turnover reached Rs 482 million, with 1,367,615 units of shares from 244 companies traded in 7,014 transactions.
The sensitive index, evaluating the performance of 'A' class stocks, continued its ascent, rising by 6.09% or 21.46 points to close at 373.75 points. Similarly, the float index, reflecting the performance of actively traded shares, experienced a 6.14% increase, or 7.86 points, reaching 135.84 points.
In today's trading, the hydropower index exhibited the most significant gain at 8.63%, followed by the Hotel and Tourism, Development Bank, Finance, and Investment sub-indices, which saw increases of 6.72%, 6.59%, 6.59%, and 6.49%, respectively.
Market experts attribute the enthusiasm among investors during today's trading to the positive reception of the central bank's monetary policy review issued on Friday. The review had reduced the risk weight for share-backed loans from 150% to 125%.
