Nepse Wrap up (Review period 31st March, 2013 to 4th April, 2013)
Sharesansar, 5th April:
Nepal Stock Exchange, Nepse, this week also continued to make correction as the benchmark index plummeted by 5.49 or 1.06% points compared to previous week’s closing to settle at 513.28 levels. With the nearing quarter end, the investors were liquidating their scrips to meet their financial obligation towards the Banking and Financial Institutions which had ultimately affected the Nepse level.
On the first day of this week also, the pressure of quarter end dragged the market index down by 7.32 points. However, in the following two days the pressure of liquidation seemed less as the market made surge of 2.25 and 5.30 points respectively. Because of the need for a minimum of 7 working days to settle the transaction, the pressures of liquidating the scrips are most seen before the 10 to 15 days before the quarter end.
But again with the surge, the market on the fourth and fifth day saw high selling pressure which dragged the market down by 0.92 and 4.80 points respectively. The soon to come Initial Public Offering (IPO) of Mega Bank Limited seems to have lured the investors in accumulating the fund in expectation of higher and safer return than that of a secondary market.
This expectation among the investors in recent days has increased the selling pressure in the market and lowered the market participation which has also impacted the market turnover of the NEPSE. The daily turnover of the market this week stood at Rs 82.51 million which use to be around the Rs 100 million mark. The total turnover for the week was Rs 412.59 million and the total shares traded stood at 1.140 million units which were carried out by 5,837 transactions. The market capitalization at the end of the week stood at Rs 498,342.14 Million.
Among the sub-indices, only Insurance and Trading made a gain of 2.95 and 1.09 points respectively. The increment in the level of Life Insurance Co. Nepal (LICN), National LifeInsu. Co. Ltd. (NLICL) and Prabhu Asian Life Insurance Co. Limited (ALICL), by Rs 40, Rs 11 and Rs 10 respectively, mainly supported in the sector’s growth. Whereas, jump in the level of Bishal Bazaar Co. Ltd. (BBC) by Rs 13 pushed the Trading sector further north.
As for remaining sub-indices, Hotel suffered the highest loss of 17.36 points following the decline in Soaltee Hotel Ltd. (SHL) by Rs 13. Likewise, fall in the price of Arun Valley Hydropower Development Company Limited (AHPC) and Butwal Power Co. Ltd. (BPCL) by Rs 4 and Rs 20 pulled the Hydro sector down by 6.88 points. Similarly, the plunge in Nepal Doorsanchar Company Limited (NTC) by Rs 4 brought down the Others sector by 4.70 points.
While, Banking , Development and Finance also plummeted by 7.17, 1.81 and 1.78 points respectively. In Banking, the scrips of Standard Chartered Bank Ltd. (SCB), Nabil Bank Ltd. (NABIL), Grand Bank Limited Promoter Share (GRANDP), Everest Bank Ltd (EBL), Himalayan Bank Ltd. (HBL), Everest Bank Limited Convertible Preference (EBLCP), Nepal Bank Limited (NBL), Nepal SBI Bank Limited (NSBI) and Bank of Kathmandu (BOK) suffered a double digit loss this week. Among other sub-indices, Sensitive index dropped by 1.49 or 1.10% to settle at 133.71 levels while Float index also descended by 0.27 or 0.73% points to settle at 36.53 levels .
Overall there were only 107 scrips traded among which 24 scrips increased 11 remained intact and 72 scrips decreased. The highest gainer among the scrips traded this week was Kathmandu Finance Limited (KFL), closed at Rs 122, with Rs 12 or 10.90% gain. Whereas, Shrijana Finance Bittiya Sa (SFFIL), closed at Rs 99, was the highest loser with Rs 44 or 30.77% loss.
In terms of highest transaction, Civil Bank Ltd (CBL), closed at Rs 158, topped with 654 transactions whereas Siddhartha Investment Growth Scheme-1 (SIGS1), closed at Rs 11.51, had the highest share traded tallying 230,320 units. In case of highest turnover, Nepal Bangladesh Bank Ltd. (NBB), closed at Rs 315, topped with 185,464 units worth Rs 58,243,403 via 306 transactions; in which Broker no 10 (Pragyan Securities Pvt. Limited) was the most active Broker with 21.10% stand alone dealing of NBB, tallying 38,958 units worth Rs 12,291,978 via 18 transactions which includes 2 matching transactions totaling 32,330 units worth Rs 10,184,280.
