Expectation of Political Consensus; Market may increase in double digits

ShareSansar, January 19:

In hope of political consensus among the major political parties, market may hit circuit break today claim one of the prominent investors Mr. Jeevan Shrestha. “There is a tremendous positive vibe in the market following the news of the possible consensus among major ruling parties NC, UML and Maoist and Madhes based parties on major agendas of the constitution. This could be the reason market may hit circuit today,” avid share investor Jeevan Shrestha told us this morning.

Mr. Dipendra Agrawal – Executive Director of Nepal Investors Forum also claims same, market may hit circuit break following the possible political consensus among political parties today. Also, there is more than approx. Rs 50 billion worth of shares which are in the dematerialized form, on which the margin loan processing has not yet started due to the absence of guidelines on the same given by the regulatory bodies. If that has to be taken into consideration then there would be surplus liquidity towards the secondary market which would definitely boost the market to continue the uptrend, added Mr. Agrawal.

Another investors Mr. Uddhav Siwakoti told sharesansar today that  the market might be positive if there will be guarantee of timely constitution which will help the Nepal’s target to promote from LDC’s to developing nation within stipulated time. He also claims that market follows the company and economy fundamentals and overnight development may not guarantee the sound fundaments within short span of time. So 150-200 point increment on NEPSE is obvious but more than that can create problem which leads to over speculative market.