Despite a drop in the Nepal Stock Exchange (Nepse) index for five consecutive working days, seasoned investors say they are confident in the market rebound.
On Tuesday, the index declined by 13.09 points or 0.49% from the earlier day, to close at 2,632.94 points.
The session witnessed the trade of 328 scrips in 93,459 transactions.
The declining market saw over 19 million shares traded, resulting in a turnover of Rs 7.25 billion, down from Rs 9.44 billion on Monday.
While technical analysts reiterated that the index was nearing a support point and might rebound from 2,630 points, seasoned investors argued such revival cannot be predicted, but the market would rebound because the overall situation was positive.
“Profit booking and negative publicity has affected the market performance to some extent,” said investor Chhote Lal Rauniyar. “But the market would rebound any day as the existing policies are market friendly.”
Rauniyar, however, added the trend of the market performing well for most part of the trading session only to end in red at the final moment has caught his attention. “It is suspicious,” he said.
Additionally, stock analysts say, announcements of dividend distribution and the upcoming festivals will gradually boost the stock market.
The Sensitive Index and Float Index fell by 0.38% and 0.50%, respectively, while the Sensitive Float Index dropped by 0.40%.
Out of the traded stocks, 169 experienced a decline in their prices, 67 saw an increase, while share prices of 9 companies remained unchanged.
Manushi Laghubitta Bittiya Sanstha Limited (MLBS) hit the upper circuit limit for the day. Three Star Hydropower Limited (TSHL) and Upper Syange Hydropower Limited (USHL) also saw their share prices go up by 9.90% and 7.54%, respectively.
In contrast, Siddhartha Investment Growth Scheme 3 (SIGS3) experienced the largest decline, plunging 8.82%.
On the turnover front, Hydroelectricity Investment and Development Company Limited Promoter (HIDCLP) led the pack followed by Himalayan Reinsurance Limited (HRL).
Sector-wise, the Finance Index saw the biggest drop of 0.99%, while the Trading Index rose by 0.79%.
