NEPSE at rock-bottom

NepaliEconomy wrote in Februay 18, 2010 when NEPSE was hoovering around 500 that it could head to 400 if it didn't hold the critical 486 level. Well it didn't and we are seeing the results.

NEPSE at rock-bottom
TKP, 9-May-2010

The capital market witnessed a four-year low in its turnover on Sunday as share trading began after a week's break due to the Maoist general strike.

The market witnessed a turnover of just Rs. 9.6 million which is the lowest since May 27, 2007 when the share market had seen a turnover of just Rs. 3.05 million. A total of 30,536 shares were traded through 615 transactions on Sunday.

The volume of trading used to worth Rs. 20-25 million daily during the last few years.

NEPSE general manager Shanker Man Singh said that Sunday's turnover was pessimistic as it remained as low as when NEPSE depended manual work. "It is a sign of shattering confidence of investors amid the political instability," he said.

President of the Stockbrokers Association Nanda Kishore Mundada said that he hoped the turnover amount would go up within a few days. "The turnover decreased as a result of the hangover of the weeklong banda."

He, however, is not hopeful about the market rebounding. "I don't see any possibility of an immediate recovery of the NEPSE index," he said. NEPSE saw a decline of 6.26 points to 413.02 points on Sunday. All the sectors that witnessed trading of shares lost points.