INSURANCE AND BANKING SECTOR SUBSIDE NEPSE; NBB AND NCC CONTINUES TO ROLL

Sharesansar, 26th August
    
Down fall in the Insurance and Banking sector after the capitalization of profit in respective sector’s scrips, pushed the Nepse further today.

Yesterday’s low market movement has made the investors skeptic towards a further bullish run for now, making them book their profit from the prior week’s rally.  Mainly, the scrips of Banking and Insurance sector were liquidated today, resulting in plunge of 2.78 and 9.56 points respectively. Both the sectors had a healthy run in the prior week with increment of 2.33% and 3.76% respectively.

Mostly contributed by these sectors, the market index came to suffer a loss of 1.36 points to close at 546.67 points today.  Also, the fall in Others and Development sectors also supported in the downfall; both decreased by 1.18 and 0.17 points respectively.

The only sub-indices that helped Nepse in countering the pressure were Hotels, Hydro and Finance with a gain of 0.75, 18.84 and 0.37 points respectively.  

 Though most of the banking scrips had a bad run, Nepal Bangladesh Bank was the only scrip with a growth near to 10% i.e. Rs 33 or 9.97% gain. Continuing its streak, NBB became way more active than yesterday, excelling in all fronts of the transaction, turnover and shares traded categories.

The turnover of the scrip way past the previous day’s figure of Rs 3.9 million as it stood at Rs 57,306,035. Altogether, 161,335 shares were traded via 356 transactions which too were way higher than yesterday’s figure of 107,496 units and 231 transactions.

As the Bank is all set to receive the owed amount from a Bangladesh based IFIC bank within a few days time, the investors are finding it one of the attractive company to invest at the current price level.

The broker with the highest standalone dealing of the NBB  was Broker No 25 (Sweta Securities Pvt. Limited) with 11.65%; amounting Rs 13,358,760 via 87 transactions totaling  37,735 which includes one matching transaction of  200 units worth Rs 72,000.

Along with NBB, Nepal Credit And Com. Bank (NCCB) also remained active as its turnover stood at Rs 19,095,288 with 70,516 units of shares trade by 180 transactions.

All in all, the scrips of 113 companies were traded, out of which 47 scrips gained, 22 remained intact and 44 scrips lost.

The best performer for the day was, Himalayan Gen. Insu. Co. Ltd. (HGI), closed at Rs 253, with  Rs 23 or 10% gain. Whereas, the worst performer was, Lumbini General Insurance (LGI), closed at Rs 225, with Rs 24 or 9.64% loss.

All in all, 654,993 units of share were traded by 2,004 transactions with total turnover worth Rs 201,719,683; the market capitalization by the end of the day tallied to Rs 545,149.39 million.

In other news on the market, Summit Micro Finance Dev. Bank Ltd. has decided to distribute 12% bonus shares and 14.32% cash dividend after the approval from NRB and its upcoming AGM. The announcement today helped boost the scrip by Rs 8 or 1.94% to close at Rs 421.