Profit Booking Drags NEPSE
Sharesansar, 11th November:
After more than 30 points rally in the Nepal Stock Exchange in previous week, the investors today booked their profit in the high levels, bringing the benchmark Nepse index down by 7.01 or 1.45% to close at 475.49 level. Technically also it is natural for an index to make a correction after such a huge rally in a short period of time. Apart from it, the government announcement to bring the full budget tomorrow despite the different views of the opposition parties has also created a mixed reaction in the market today. With the President stand to pass the budget only after full consensus among the parties, it will be very interesting to see the market reaction towards the government decision tomorrow.
The profit taking in most of the scrips of the Banking sector today, dragged down the sector by 12.01 points. The scrip of the companies like NABIL, SCB, EBL, NSBI and BOK all came down more than Rs 20 today. Nepal Investment Bank which has posted the first quarter net profit of Rs 476.1 million with the growth rate of 61.52%, boosted the scrip up by Rs 19. As for Lumbini Bank Ltd which also has posted first quarter net profit of Rs 24.51 million, declined by Rs 16.
As for Development and Finance, both also came down 2.94 and 0.96 points respectively. Similarly, Insurance sector also came down by 14.13 points. The decline came mainly because of the drop in the price level of Nepal Life Insurance Co. Ltd. (NLIC) by Rs 71, along with its decline in another five scrips also contributed to sector decline.
Among other sub-indices, Hotels, Hydro and Others inclined than prior closing level. Hotels sector gained 1.51 points as the climb in Oriental Hotel Ltd. (OHL) by Rs 4 helped to push the sector up. Likewise, a surge in the level of Nepal Doorsanchar Company Limited by Rs 3 supported in the 3.53 points growth of Others. Whereas, the leap in the price of Chilime Hydropower Co. (CHCL ) by Rs 10 helped to outweigh the loss in the scrip of Arun Valley Hydropower Development Company Limited (AHPL) and Butwal Power Co. Ltd. (BPCL) to maintain the Hydro sector in the green pasture, the sector today added 3.95 points.
Overall there were 80 scrips traded among which 19 scrips increased, 11 remain intact and 50 scrips decreased. The highest gainer for the day was Everest Bank Limited Convertible Preference (EBLCP), closed at Rs 704, with Rs 39 or 5.86%. Whereas, Machhachapuchhre Bank Ltd. (MBLPO), closed at Rs 70, was the Top Loser with Rs 30 or 30% and it also had the highest share traded and turnover today with 261,142 units worth Rs 19,420,560 .Among the general shares, NIDC Capital Markets Ltd., closed at Rs 147, was the Top Gainer with Rs 6 or 4.26%. Whereas, Standard Chartered Bank (SCB), closed at Rs 1930, after the price adjustment by the Nepse was the Top Loser with Rs 250 or 11.47%.
In case of highest share traded, Nepal Bangladesh Bank Ltd. (NBB), closed at Rs 208, topped with 42,648 units. In terms of turnover, Nepal Investment Bank Ltd. (NIB), closed at Rs 661, topped with 25,786 units worth Rs 17,054,981 via 151 transactions; in which Broker No 45 (Imperial Securities Co .Pvt.Limited) was the most active broker with 14.77% stand alone dealing of NIB, tallying 3,812 units worth Rs 2,519,369 via 16 transactions.
Overall 575,746 unit shares were traded with the turnover value of Rs 121,188,502 via 1,599 transactions.The market capitalization at the end of the day Rs 450,243.29 Millions.
