NEARING BUDGET FUELS MARKET

Sharesansar, 1st June:

Buoyed by the nearing of the budget, the market today also continued to rally with massive turnover. The benchmark index further inclined by 2.61 points to close at 869.18 level.

In addition, the stock market turnover today breached Rs 500 million mark to stand at Rs 527,991,961. Altogether 1,617,400 units of share were traded through 2901 transactions.

One of the investors in market, Mr. Sanjeev Ghimire says that the investors are currently upbeat about the next year budget which is expected to address regarding transaction tax by replacing the existing capital gain tax.

“Once this tax system comes into implementation the cost burden to investors will drastically decrease.” he states.

He further adds,” the government positive outlook towards opening the gateway for the Non-Resident Nepalis to invest in the stock market of Nepal is another fuelling factor.”

Most of the investors’ confidence is positive following such expectation and development in recent days which has kept the market rallying towards new height.

Today the buying spree was mainly observed in banking and hydro scrips. Both Banking and Hydro made double digit growth of 10.02 points and 59.25 points respectively. Similarly, Finance also increased by 1.45 points.
 
While, Insurance dropped by 63.84 points, Others decreased by 9.4 points, Development declined by 2.62 points and Hotels tumbled by 0.76 point.

All in all, the scrips of 147 companies were traded, out of which 61 scrips gained, 25 remained intact and 61 scrips lost.

The best performer for the day was, United Insurance Co.(Nepal)Ltd. (UIC), closed at Rs 852, with Rs 77 or 9.94% gain. Whereas, Ace Development Bank Limited (ACEDBL), closed at Rs 248, was the worst performer today with Rs 15 or 5.70% loss.

While, Chilime Hydro Power Co.(CHCL), which closed at 2290, continued to rule the day as the scrip today also had the highest turnover. Altogether, 35,855 units of shares were traded through 221 transactions worth Rs 85,049,875.

The broker with the highest standalone dealing of the CHCL was Broker No 45 (Imperial Securities Co .Pvt.Limited) with 5.81 percent totaling 4,162 shares trade amounting Rs 9,888,771 via 34 transactions, which include three matching transactions tallying 173 shares units worth Rs 413,548.