KATHMANDU: The Nepal Stock Exchange (NEPSE) index fell by nearly 20 points on Sunday, extending the market’s downward trend from last week.
After losing 17 points on Thursday, the benchmark index declined by another 19.85 points on Sunday, closing at 2,694.20 points, down from 2,714.05 points at the opening. The market remained in negative territory throughout the trading session. The Sensitive Index also dropped by 2.76 points.
Market analysts attribute the decline partly to the fact that most listed companies have already distributed dividends from the previous fiscal year, leaving investors facing a long wait for returns. Additionally, selling pressure has increased as investors liquidate shares to meet expenses related to the upcoming Falgun 21 elections.
Out of 260 companies traded on Sunday, share prices of 201 companies declined, while 50 companies advanced and 9 remained unchanged. Among individual stocks, Mithila Laghubitta gained nearly 10 percent, while Corporate Development Bank suffered the sharpest fall, plunging by 19 percent.
All sectoral indices, except trading, closed in the red. Banking fell by 5.87 points, development banks by 43.54, finance by 11.30, investment by 1.02, life insurance by 68.30, microfinance by 28.40, non-life insurance by 70.52, others by 21.89, hotels by 132.30, hydropower by 49.17, manufacturing by 71.05, and mutual funds by 0.10 points. The trading group was the sole gainer, rising by 20.92 points, according to NEPSE.
Trading activity also declined. A total of 2.26 million shares worth Rs 9.10 billion were traded through 110,729 transactions involving 329 companies. The turnover was significantly lower than Thursday’s trading volume, when transactions exceeded Rs 14 billion.
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