On Monday, trading on the Nepal Stock Exchange (NEPSE) was closed for the day after hitting the third consecutive positive circuit breaker. Today, the NEPSE index increased by 162.93 points to settle at the 2,875.43 point mark, representing a 6 percent rise.
Investor enthusiasm was palpable on the first trading day after the House of Representatives election. Immediately after the market opened, a 4 percent increase triggered the first positive circuit breaker, suspending trading for 20 minutes.
Subsequently, within one minute of the market reopening at 11:21 AM, a second positive circuit breaker was hit. After a 5 percent increase was observed, trading was halted for 40 minutes.
According to NEPSE, after the index saw a 6 percent increase at 12:01 PM, triggering the third positive circuit breaker, trading was suspended for the remainder of the day.
Under the current ‘Circuit Break’ regulations, trading is halted for 20 minutes if the NEPSE index fluctuates by 4 percent during the first hour of operation. Similarly, if it fluctuates by 5 percent during the second hour, trading is suspended for 40 minutes, and if it moves by 6 percent during the third hour or later, trading is stopped for the rest of the day. Today, 1,143,767 shares of 261 companies were traded 4,051 times, resulting in a total turnover of Rs 555,963,894. In today’s trading, the banking sector rose by 6.92 percent, development banks by 5.91 percent, finance by 5.47 percent, hotels and tourism by 5.73 percent, hydropower by 6.81 percent, and the investment group by 7.06 percent.
Additionally, life insurance increased by 4.67 percent, manufacturing and processing by 5.30 percent, microfinance by 4.07 percent, mutual funds by 0.18 percent, non-life insurance by 3.74 percent, trading by 7.73 percent, and other groups by 5.56 percent.
