Fresh Dialogues push Nepse over 400 level

Sharesansar, 31st August:

The consensus between the major three parties regarding the fresh dialogues to revive the Constituent Assembly boosted the Nepal Stock Exchange (Nepse) this week. The market which opened at 397.53 level saw a surge of 8.61 points to break the 400 level on the second trading day after the news of agreement was published. The local bourse which added points for three consecutive days, on the last trading day lost 1.25 points despite the high turnover on that day. Although the current dialogue between parties is a positive indication for overall market, the investors are not fully convinced towards the political parties’ commitment to put the National benefit first than personal. In overall, the benchmark index added 8.65 points to its tally to close at 405.82 level this week.

Among the sub-indices that hugely supported the Nepse incline was Other sector which on the second trading day rocketed up by 41.11 points or 6.26%. The main contributor to Other sectors raise was Nepal Doorsanchar Company as the scrip added Rs 41 or 7.52% this week to close at Rs 586. Similarly, Insurance sector also contributed as the sub-indices increased by 23.60 or 4.44% points. In the recent days, the insurance sector as a whole is seeing a boom in its level, the reason for this mainly is regulator body of Insurance sector has announced to open a re-insurance company within the company which will eventually lead to cost minimization and stoppage in the cash outflow of the insurance companies in abroad.

Likewise, other contributors were Hotels, Hydro, Banking, Finance and Development with 2.87%, 2.09%, 1.46%, 0.12% and 0.09% points incline respectively. The scrips under Hydro like Arun Valley, Butwal and Chilime which added Rs 14, Rs 13 and Rs 20 respectively ,supported the raise of Hydro sector. Similarly in Hotels sector also increment in all the listed scrips under it helped to push the Hotel sector up.

The only decliner in the sub-indices was Trading sector which lost 18.24 or 10.07% to close at 162.83 level. The scrip that complemented in the lost was Bishal Bazar Co. Ltd. which decreased by Rs 295 or 14.75% to close at Rs 1,705. Among other sub-indices, Sensitive index added 2.42 or 2.37% to settle at 104.63 level while Float index also gained 0.40 or 1.33% points to settle at 30.51 level.

In overall week transaction, Sagarmatha Insurance Co.Ltd (SIL), closed at Rs 622, was the Top Gainer with Rs 203 or 48.45%. On the other side, Hama Merchant & Finance Ltd. (HAMA), closed at Rs 97, was the Top Loser with Rs 50 or 34.01%. Likewise in terms of transaction, Guras Life Insurance Co. Ltd. (GLICL), closed at Rs 132, topped with 500 transactions.

Whereas in the category of highest share traded and turnover, Nepal Doorsanchar Company Limited (NTC) topped with 72,055 units worth Rs. 42,215,620; in which Broker No 6 (Agrawal Securities Pvt. Limited) was most active broker with 50.03% stand alone dealing of NTC, totaling 35,810 units worth Rs 21,120,385 via 45 transactions which includes 14 matching transaction of 26,575 units worth Rs 15,654,000.

Total scrips traded for the week were 121 with 68 gainers and 44 Losers .Overall week’s turnover was of Rs 303,241,533 which is comparatively Rs 100,876,650 or 49.84% higher than prior week. Overall 1,002,530 units of shares were traded via 7,255 transactions. The total market capitalization at the end of review period was Rs 384,029.94 millions which is higher by Rs 7,841.06 millions compare to previous week’s closing.

Top Five Broker for the Week As Per Turnover (It includes matching as well)

S.No | Broker No | Broker Name | Buy Amt (Rs) | Sell Amt (Rs) | Total Amt (Rs) | Matching Amt (Rs) |

1. | 6 | Agrawal Securities Pvt. Limited | 47,865,946| 46,706,728 | 94,572,674 | 33,539,241 |

2. | 14 | Nepal Stock House Pvt. Limited | 12,539,643 | 15,426,097 | 27,965,740 | 5,048,948 |

3. | 44 | Dynamic Money Managers Securities Pvt. Ltd | 5,995,641| 14,869,390 | 20,865,031 | 2,351,666 |

4. | 1 | Kumari Securities Pvt. Limited | 9,659,024 | 9,426,318 | 19,085,342 | 4,038,702 |

5. | 40 | Creative Securities Pvt. Limited | 8,588,808 | 10,096,946 | 18,685,754 | 6,122,663 |