NEPSE falls 3 points despite rising trading amid election season

The Nepal Stock Exchange (NEPSE) index fell slightly on Monday, dropping by 3.07 points after a strong rise of 57 points on Sunday.

Even though the index went down a little, trading activity increased. As the election atmosphere heats up across the country, investors are returning to the market and investing more money. This pushed the total daily turnover to over Rs 16 billion.

According to NEPSE, the small fall in the index does not mean the market is weakening. The higher trading volume shows that investor interest is growing, and the market trend may continue to improve in the coming days.

Out of 165 companies traded, share prices of many companies fell, which caused the overall market to end in the red.

By sector, banking fell by 2.36 points, development banks by 3.78 points, finance by 12.14 points, investment by 0.59 points, life insurance by 71.46 points, microfinance by 25.54 points, non-life insurance by 19.33 points, others by 12.44 points, and trading by 4.71 points.

However, some sectors gained. Hotel stocks rose sharply by 127.68 points. Hydropower increased by 11.04 points, manufacturing by 38.94 points, and mutual funds by 0.16 points. These gains, however, were not enough to lift the overall market index.