STOCK MARKET BOUNCES BACK; MARKET TURNOVER SHRINKS AS SIX BROKERS WERE SUSPENDED

Sharesansar, 8th June:

Erasing its prior days’ loss, the only stock market of Nepal bounced back by 3.88 points to 883.21 level.

After reaching the new 66 months’ high on last Tuesday, series of  high gainers were offloaded by traders on following days, which pushed the stock index in red terrain for consecutive two trading days.

However, with the ease of profit-taking and investors positive outlook towards the upcoming budget the market rebounded to green territory today.

Despite such driving factors, the suspension of Broker No 18, 20, 29, 38, 45 and 32 dampen the market volume today. The market turnover only stood at Rs 382,026,463 which is far less than Rs 500 million average turnover of  last week.

As per the notice published by Nepse, it is stated that Broker No 18, 20, 29, 38, 45 and 32 were suspended due to issues related to non settlement of cash and paper documents.

Time and again, Nepse has been suspending the Brokers who fail to comply with the rules and regulation of the market.

Coming back to today’s market transition, Banking sub-index added 5.15 points followed by Development and Finance with gain of 3.63 points and 4.24 points respectively.

Similarly, Hydro sector inclined by 1.03 points. As for Hotels and Insurance, both dropped by 3.76 points and 13.55 points respectively.

All in all, the scrips of 130 companies were traded, out of which 60 scrips gained, 16 remained intact and 54 scrips lost.

The best performer for the day was, Infrastructure Development Bank Limited (IDBL), closed at Rs 170, with Rs 15 or 9.68 percent gain. Whereas, NLG Insurance Company Ltd. (NLG), closed at Rs 726, was the worst performer today with Rs 45 or 5.84 percent loss.

In terms of turnover, Chilime Hydro power Co. (CHCL), closed at Rs 2329, had the highest turnover today. Altogether, 17,972 share units of CHCL were traded through 112 transactions worth Rs 41,582,166.

The broker with the highest standalone dealing of the CHCL was Broker No 1 (Kumari Securities Pvt. Limited) with 24.37 percent totaling 4,401 shares trade amounting Rs 10,135,619 via 12 transactions, which includes one matching transaction tallying 1,024 share units worth Rs 2,344,960.