BASEL III DRIVES MARKET UP

Sharesansar, 11th December:

Fuelled by the news of Nepal Rastra Bank (NRB) to enforce BASEL III from next month, propelled the market to new heights today. Coming to the end of the day, the stock index advanced by 10.91 points to surpass the recent pinnacle of 707.41 levels, to settle at 710.75 levels.

With the implementation of BASEL III, the Banking and Financial Institutions will need to soar up their paid up capital. As per the spokesperson of NRB, the commercial banks will need to meet up their paid up capital of Rs 5 billion within six years time.

Driven by this fundamental news today, the investors' sentiment towards Banking and Financial Institutions shares burst to new height in expectation of bonus shares in the future date from these companies to meet the new regulation by NRB.

The positive movement of all three BFIs sub-indices from the beginning of the session provided a constructive path for the overall market today.

Among the three BFIs sub-indices, Banking sector added the most as it advanced by 19 points. Following Banking, Development ascended by 2.62 points and Finance increased by 2.41 points. Similarly, Others also made upward movement of 3.53 points

While, Insurance sector continued to dip as it declined by 14.78 points today also. Alongside Insurance,  Hotels and Hydro also made the double digit plunge of 19.37 and 10.52 points respectively.

Altogether there were trade of 122 scrips, among which 68 scrips gained,  11 scrips remained intact and 43 scrips suffered loss.

The best performer among the traded scrips was Prabhu Bikas Bank Limited (PRBBL), closed at Rs 245, with a gain of Rs 22 or 9.87 percent. Whereas the worst performer was Araniko Development Bank Limited  (ARDBL), closed at Rs 126, with loss of Rs 13 or 9.35 percent.

The scrips with the highest turnover in today’s trade was Nepal Bangladesh Bank Ltd. (NBB), closed at Rs 498, with trading of 87,423 units worth Rs 43,472,649 via 162 transactions.

The Brokers with the highest transaction of NBB was Broker no 44 (Dynamic Money Managers Securities Pvt. Ltd) with standalone dealing of 9.40 percent, tallying 16,415 units worth Rs 8,168,620 via 19 transactions which includes one matching transactions totaling 1,000 units worth Rs 498,000.

The total turnover of the market today decreased to Rs 401,715,095 which was carried out through 2,972 transactions totaling 1,190,195 units. The market capitalization at the end stood at Rs 721,369.17 Millions.