NEPSE single day transaction tops Rs1 billion
Apr 22, 2019-
The single day transaction amount at the Nepal Stock Exchange crossed Rs1 billion on Sunday, with investors rushing to purchase shares on expectations that the stocks’ price will rise further with the start of the last quarter of the current fiscal year.
With the transaction volume, the secondary market index also increased by a whopping 31.89 points after the index of commercial banks in particular escalated by 45.94 points. With the significant rise in the stocks’ price, the investors gained Rs35.34 billion from the trading as the market capitalisation increased to Rs1,563.54 billion from Rs1,528.20 billion.
The market has been on an upward trend since the beginning of Nepali New Year. Since last week, the regulator has made mandatory the use of permanent account number on transactions worth more than Rs500,000. Similarly, the integration of Nepal Stock Exchange (NEPSE) with the Nepal Clearing House is also at the final stage, reported the NEPSE officials. The link-up with Nepal Clearing House is expected to ease the settlement of financial transactions between multiple institutions via an electronic platform.
According to a stock analyst, the investors are attracted to the secondary market also with the possible dividend to be declared by the commercial banks in particular. “The net profit of most of the banks already crossed billions of rupees by the second half of the current fiscal year which is expected to go up by the end of this year. Therefore the banks are likely to offer a good amount of dividend in the next fiscal year,” said a stockbroker on condition of not disclosing the identity.
Nepal Bank Limited posted the highest turnover amount of Rs149.45 million. It was followed by NIC Asia Bank and Nepal Credit and Commerce Bank. Similarly, Standard Chartered Bank gained the largest of 9.98 percent and closed at Rs683. Of the 11 trading groups, non-life insurance and manufacturing were only the losers.
Published: 22-04-2019 08:59