PROFIT BOOKING IN BANKING SCRIPS CONTINUES TO WEAKEN NEPSE

Sharesansar, 27th January:

The profit booking in banking sector continues to dampen the market. Owing to the high selling pressure in the banking scrips the stock index came to sag by 3.21 points, to close at 780.47 levels.

As the banking scrips have witnessed immense growth post election, which played essential role in the surge of the NEPSE from the range of 500 to 800 levels, the old investors, in event of current consolidating phase, are continuously liquidating their position to capitalize at the present height.

Attributed by such factors, the banking sub-index continued with its dismal performance as it dropped by 5.93 points. While Development and Finance sectors, which had experienced less growth post election period, are currently observing streak of bullish movement.

Citing the fact that the development and finance sectors’ shares haven’t increased as compared to banking scrips, the investors in recent days are targeting these shares in speculation of earning hefty capital gain easily than banking scrips.

Both the development and Finance today also added 1.44 and 2.2 points to its tally.

Coming to other sub-indices, others and hotels suffered a loss of 1.17 and 4.89 points respectively. Meanwhile, hydro and insurance increased by 1.49 and 0.99 points respectively.

Altogether there were trade of 124 scrips, among which 68 scrips gained, 6 scrips remained intact and 50 scrips suffered loss.

The best performers among the traded scrips were Business Universal Development Bank Ltd. (BUDBL), closed at Rs 176, and Country Development Bank Ltd.  (CNDBL), closed at Rs 121, with a gain of 10 percent i.e.  Rs 16 and Rs 11 respectively. Whereas, Kamana Bikas Bank Limited (KMBL), closed at Rs 255, was the worst performer with loss of Rs 27 or 9.57 percent.
 
The scrip with the highest turnover in today’s market was Nepal Life Insurance Co. Ltd. (NLIC), closed at Rs 3700, with Rs 19,188,130, totaling 5,185 units which were traded through 11 transactions.

The Broker with the highest transaction of NLIC was Broker No 28 (Shree Krishna Securities Limited) with 96.95 percent standalone dealing, totaling 10,055 units worth Rs 37,204,700 via 12 transactions, which include five matching transactions worth Rs 18,500,000 totaling 5,000 units.

The market turnover today stood at Rs 200,016,541 with total number of shares traded at 632,227 units which were traded through 2,285 transactions. The market capitalization at the end of the day stood at Rs 793,898.61 Millions.