Nepse Wrap up (Review period 21st July to 25th July, 2013)

ShareSansar,26th  July:


The murky environment in Nepse came to an end post the timely announcement of the full budget. This week accompanied by the favorable monetary policy brought by the Nepal Rastra bank (NRB), the market confidence even climbed a further height.

The local bourse this week advance to four months high of 535.72 levels on 21st July, 2013, before coming to settle at 529.07 levels on 25th July, 2013. Compared to prior week’s closing level, the market index rallied by 7.54 points.

With the decrease of CRR and SLR, the market will observe more liquidity attributing to lower the deposit rate which will boost the market participation in secondary markets in the expectation of a higher return than that of market interest rate.

In addition, the commercial banks are complied to meet the minimum paid of capital of Rs 2 billion by the end of this fiscal year as per monetary policy. This has fueled the investors of higher expectation of bonus shares in upcoming days. Currently eight commercial banks don’t meet the policy of minimum capital.

Apart from it, the flow of the margin lending money after the end of FY 2069/70 has also boosted the participation in the market. The market turnover this week rose by the astounding figure of 86 percent to stand at 724.69 million with a daily average turnover of Rs 144.93 million.
 
Overall , 2,531,949 units of share were traded by 8,254 transactions; the market  capitalization at the end of the week stood at Rs 526,029.42 million.

The Sensitive index, which measures the movement of blue chip companies, also inclined by 1.73 points to settle at 131.68 levels. Likewise, Float index, which measures the movement of ordinary shares only, also increased by  0.59 points to settle at 36.93 levels.

The increase in the demand in the scrips of Insurance this week also boosted the sector by a huge margin of, 84.30 points. Similarly, Hydro and Banking also continued with its bullish run as both gained 37.79 and 8.60 points respectively. Whereas, Manufacturing  and Trading made a leap of 5.19 and 2.87 points respectively.

Likewise, Finance also advanced by 2.10 points followed by Development with 0.75 points. As for Others, it dropped by 12.92 points alongside 5.74 point decline of Hotels.

All in all, the scrips of 123 companies were traded, out of which 68 scrips gained, 9 remained intact and 46 scrips lost.

The highest gainer among the scrips traded this week was NLG Insurance Co. Ltd. (NLG) that closed at Rs 435, gaining of Rs 133 or 44.04%.

Whereas, Prudential Finance Company Limited (PFIL), closed at Rs 63, was the highest loser with Rs 9, or 12.5%, loss. Among the ordinary shares trading above par, Nepal Insurance Co. Ltd. (NICL), closed at Rs 233, was the top loser with Rs 17 or 6.8% loss.

In terms of the highest shares traded among mutual fund, Nabil Balance Fund 1 (NBF1), closed at Rs 10.10, topped with 505,893 units whereas among the ordinary scrips trading above par, NIC Asia Bank Limited (NICA), closed at Rs 697, topped with 124,924 units.

In case of highest turnover, Everest Bank Ltd (EBL), closed at Rs 1730, topped with  53,514 units worth  Rs 92,747,934 via 448 transactions; in which Broker no 56 (Sri Hari Securities Pvt. Ltd..) was the most active Broker with 11.47% stand alone dealing of EBL, tallying 12,281 units worth Rs 21,267,201 via 83 transactions which  include 3 matching transactions totaling 1,893 units worth Rs 3,276,170.