Share market surges for second consecutive day

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KATHMANDU, JULY 1

Owing to easy availability of loans from the banks and financial institutions, the secondary market witnessed a bull run for the second consecutive day today.

Nepal Stock Exchange (Nepse) witnessed three positive circuit breakers and trading was suspended for the rest of the day today as well.

The first circuit breaker was applied at 11:13am for 20 minutes when Nepse surged by four per cent or 50.15 points to 1,310.90 points. The second circuit breaker was applied in just three minutes of trading resumption at 11:35am, when Nepse rose by five per cent or 63.06 points to 1,323.81 points.

However, it took only eight minutes for the market regulator to suspend the trading for the rest of the day at 12:24pm when benchmark index rose six per cent to 1,336.53 points.

Uttam Aryal, chairperson of Investors Association of Nepal, said the market is on a bull run due to the oversupply of money in the market. “The investable money with the investors is very high at this time as most other businesses are in passive mode,” he said adding, however, that the secondary market normally also surges before the fiscal year ends.

The sensitive index too went up by 5.55 per cent or 15.1 points to 287.02 points and float index also gained 6.32 per cent or 5.62 points to 94.48 points today.

The total turnover amount stood at Rs 407.35 million, which was achieved through trading of 1.10 million units of shares of 135 listed firms through 3,890 transactions.

Among all the subgroups, only hotels landed in the red zone. The hotels subgroup fell by 0.35 per cent or 5.15 points to 1,477.26 points.

The banking subgroup was the highest gainer of the day, surging by 7.55 per cent or 82.3 points to 1,172.30 points. Likewise, life insurance sub-index went up by 7.43 per cent or 548.53 points to 7,930.57 points.

Similarly, non-life insurance subgroup went up by 6.04 per cent or 322.41 points to 5,659 points and microfinance by 4.95 per cent or 101.23 points to 2,147.85 points.

Meanwhile, manufacturing subgroup rose by 3.92 per cent or 102.57 points to 2,718.37 points and trading sub-index accelerated by 3.91 per cent to 889.6 points. Hydropower subgroup ascended by 3.64 per cent or 33.67 points to 959.77 points and development banks gained 3.38 per cent or 57.06 points to 1,747.39 points.

The others subgroup also went up by 3.62 per cent to 685.79 points and finance sub-index ticked up by 0.8 per cent to 630.11 points.

Moreover, others subgroup went up by 3.05 per cent or 20.94 points to 706.73 points.

Likewise, finance sub-index has ascended by 0.75 per cent or 4.75 points to 634.86 points and mutual funds subgroup inched up by 0.06 per cent or 0.01 point to 9.6 points.

Among the top gainers, share price of Citizen Bank International surged by the maximum daily limit of 10 per cent to Rs 198. Similarly, Sana Kisan Bikas Bank increased by 9.98 per cent to Rs 1,190, Citizen Investment Trust went up by 9.97 per cent to Rs 2,504, National Life Insurance Co by 9.97 per cent to Rs 629 and RMCD Laghubitta Bittiya Sanstha by 9.95 per cent to Rs 641.

Among the top losers, share value of National Microfinance Bittiya Sanstha descended by 3.92 per cent to Rs 1,519 and Oriental Hotels fell by 3.27 per cent to Rs 296.

A version of this article appears in e-paper on July 2, 2020, of The Himalayan Times.

The post Share market surges for second consecutive day appeared first on The Himalayan Times.

Written by Sureis
This news first appeared on https://thehimalayantimes.com/business/share-market-surges-for-second-consecutive-day/ under the title “Share market surges for second consecutive day”. Bolchha Nepal is not responsible or affiliated towards the opinion expressed in this news article.