On Sunday, the first trading day of the week, the Nepal Stock Exchange (NEPSE) gained 16.67 points, or 0.67 percent, reaching 2503.85. The Sensitive Index, which tracks strong and stable companies, also increased by 0.53 percent to 437.60.
Over 6.1 million shares worth more than Rs 2.79 billion were traded across 323 listed companies.
Market analyst Prakash Rajoure said there was no major reason for the market to fall in recent days. According to him, the earlier decline was mainly due to internal issues at NEPSE and SEBON as employees staged protests, along with ongoing political uncertainty.
He added that since the protests were about employee benefits and not about market regulation, investor confidence remained low. However, he believes the market could regain its rhythm after Tihar as conditions slowly stabilize.
On the other hand, analyst Damodar Gajurel believes Sunday’s rise might not be as positive as it seems. He called it a “false breakout,” explaining that the index went up even though the total trading volume remained very low. In his view, such a rise doesn’t reflect real growth and the market still sits near its bottom zone.
Due to political uncertainty and weak confidence, many investors are still waiting before making big moves. Gajurel mentioned that most traders are hoping the market won’t fall further, but they aren’t ready to buy aggressively yet.
Which sectors moved
Out of 13 trading sectors, 11 closed higher on Sunday. The “Others” group led the gainers, rising by 1.16 percent.
Banking increased by 0.87 percent, Finance by 0.51, Hotels by 0.72, Hydropower by 0.70, Investment by 0.75, Life Insurance by 0.33, Manufacturing by 0.90, Microfinance by 0.47, and Trading by 0.90 percent.
However, Development Banks, Mutual Funds, and Non-life Insurance sectors saw minor declines.
Top traded and volatile stocks
Nepal Reinsurance recorded the highest turnover with over Rs 281 million traded. Himalayan Distillery followed with Rs 253.6 million, while Union Hydropower, CEDB Holding, and Himalayan Reinsurance also saw strong activity.
Three companies hit the upper circuit limit: Aatmanirbhar Microfinance, Himalayan Power Partner, and Bhagawati Hydropower.
Meanwhile, Kalika Microfinance faced the biggest loss of the day, dropping by 3.94 percent, followed by Nepal Micro Insurance and Muktinath Development Bank.
With Tihar celebrations beginning, the share market will remain closed for a short break. Many investors are hopeful that once the holidays are over, NEPSE will finally find a steady rhythm and regain investor confidence.
