Nepse posts marginal gain of 1.41pts

- Post Report, Kathmandu

Jul 22, 2018-

Nepal Stock Exchange (Nepse) index inclined marginally by 1.41 points to close at 1,193.39 points last week, as the market responded lukewarmly to the government tax, monetary policy and the introduction of full-fledged online trading system.

The average daily turnover amount stood at Rs291.02 million over the period.    

The market that opened at 1,191.98 points on Sunday gained 8.11 points to close at 1,200.09 points. On Monday too, the market index added up 12.27 points and closed at 1,212.36 points.

However, the market slipped during the rest of the trading days, with Nepse declining by 8.05 points, 5.54 points and 5.38 points on Tuesday, Wednesday and Thursday respectively. Consequently, the market closed with an addition of 0.11 percent in the overall trading days.

Stockbrokers attributed the marginal growth in Nepse to combined effect of the government tax, monetary policy and the introduction of full-fledged online trading system last week. “Mostly the large investors reluctant to invest in the market, put off by the stern tax policy adopted by the government,” said a stockbroker under condition of anonymity.

The sensitive index that measures the performance of Group ‘A’ companies also went up 0.37 points to close at 251.42 points with majority of the trading groups including  commercial banks posting small gains in their indices.  

Along with a fall in the market index, the average value of the shares listed on the stock market also increased by Rs1.67 billion, as the market capitalisation inclined to Rs1,412.68 billion from Rs1,411.01 billion during the review period.

Except insurance and microfinance, the sub-indices of the remaining trading groups posted green last week. Index of hotels gained the most, adding 34.45 points to close at 1,808.22 points. It was followed by development bank (7.4 points), finance companies (5.23 points), manufacturing (4.65 points), commercial banks (3.2 points), trading (2.11 points), ‘others’ (1.83 points) and hydropower gained 0.74 points.

Of the two losers, index of insurance companies slid the largest of 39.59 points to close at 5,969.35 points. Similarly, microfinance lost 26.3 points and closed at 1,561.61 points.  

Of the individual companies, promoters’ shares of Prime Life Insurance led in terms of both transaction amount and number of shares.

The company witnessed a turnover of its promoters’ shares worth Rs358.01 million from 1,252,000 units exchanging hands.

Likewise, Nabil Bank with transactions worth Rs131.83 million, stood at second position in the segment, followed by Nabil Bank promoters’ shares, Nepal Investment Bank and Nepal Insurance Company during the review period.

Last week, stocks of 186 listed companies were traded. Despite a slight increase in market index, the transaction amount dipped 31.32 percent to Rs1.45 billion. The traded number of shares also declined to 4,754,520 units from 6,112,370 units.  

Right Shares/Bonus Shares

Company    Type    Units

Reliance Finance    Right    2,005,297.08

Mithila Laghubitta Bittiya Sanstha    Bonus    86,058.18

Nepal Insurance Limited    Right    3,019,886.10

Nepal Insurance Limited    Bonus    136,614.85

Forward Community Microfinance Bittiya Sanstha Bonus    1,001,657

Published: 22-07-2018 10:18

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