The market started the week on a negative note though. It rallied on other trading days led by the ´Insurance´ and the ´Others´ sectors. [break]The average daily market turnover decreased by a whooping 43.54 percent. The share trading of Chilime Hydropower and Everest Bank contributed to almost 32.82 percent of the weekly market turnover.
The Insurance sub-index (+1.87 percent) was the biggest gainer of the week as share in share prices of Sagarmatha Insurance (+Rs 42) and Asian Life Insurance (+Rs 7) pulled the sub-index in the green territory. The ´Others´ sub-index also gained value week saw its Nepal Telecom (+Rs 5) saw its share prices go up. The Hydropower sub-index (+0.81 percent) continues to impress investors with rise in share price of Butwal Power Company (+Rs 24) surged.
Nonetheless, other sub-indices failed to impress investors and ended in red zone. The Finance sub-index (-0.84 percent) shed points for the second straight week, as Nepal Aawas Finance (-Rs 46), Nepal Finance (-Rs 10) and Lumbini Finance (-Rs 12) saw their share prices go down.
The Development banking sub-index (-0.71 percent) followed suit as share prices of Purnima Bikash Bank (-Rs 11) and Nilgiri Bikash Bank (-Rs 10) depreciated. The Commercial banking sub-index (-0.13 percent) fell marginally as newly listed Janata Bank Nepal (-Rs 5) and Sanima Bank (-Rs 6) disappointed investors.
Amongst news and highlights, the Insurance Board has suspended the operation of NB Insurance until further notice on suspicion that it may have misused the insurance premium amount.
As for company announcements, Lalitpur Finance is conducting its special AGM on 15th August. It is in the process of undergoing merge with Progressive Finance. National Life Insurance Company Limited is conducting its 24th AGM on August 20 where it will propose 30 percent bonus shares to its shareholders.
On the IPO side, Khandbari Development Bank is issuing 150,000 units of ordinary shares to the general public from August 8.
Forecast:
Technical analysis indicators signal market to remain in sideways consolidation mode with a negative bias.
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