Stock market bounces back as officials soothe investors
The stock market bouned back today as the capital market regulator tried to sooth the investors.
Nepal Stock Exchange (Nepse) index gained 44.5 points, or 5.08 per cent, in the intra-day trading today to close at 920.06 points.
The buying pressure pushed the market above 5 per cent that has attracted circuit breaker for 30 minutes before closing the market at 3.
Yesterday, Nepse attracted circuit breaker due to sharp drop to 875.56 points.
Chief Economic Advisor of the Prime Minister Dr Chiranjivi Nepal, Securities Board of Nepal (Sebon) and Nepse today noon urged the investors to remain calm rather than frenzy and taking hasty decisions. They requested the investors not to feel pressure as the market is looking down due to rumours and speculation.
Their appeal has boosted the investors confidence. But president of Stock Brokers Association of Nepal (SBAN) Narendra Sijapati was worried of long-term impact.
The stock market should look up as the economic indicators are positive, political situation is also improving and the profit of the listed companies has also increased, they said, asking the investors not to lose confidence.
All the sub-groups supported the stock market index with hydropower sub-group being the biggest gainer of the day. It gained 180.17 points to close the market at 2,439 points. Likewise, insurance and banking sub-indices also gained 135.63 points and 51.05 points to close at 3,603.23 points and 826.88 points, respectively.