NEPSE slips further as market turnover drops 40%

The secondary market remained under pressure for the third straight trading session of volatility, as the NEPSE index declined 4.15 points on Wednesday to close at 2,740.25.

The benchmark index had surged 38.19 points on Monday before plunging 39.44 points on Tuesday, reflecting heightened uncertainty among investors. Wednesday’s decline came alongside a sharp drop in trading activity, with turnover falling to NRs 2.80 billion from NRs 4.66 billion recorded the previous day.

On Tuesday, Jyoti Pandey, the chief executive officer of Nepal Investment Mega Bank, one of the country’s oldest and most prominent commercial banks, was arrested in a development that drew significant attention across the banking and financial sector. Market observers say the incident may weigh on short-term investor confidence, particularly in the banking sector, which was already under pressure amid recent stock market volatility. Banking stocks were among the sectors that closed lower during Tuesday and Wednesday’s trading session, losing almost 16 points.

Sectoral performance remained largely weak, with only the trading and manufacturing & processing groups posting gains. A total of 339 securities were traded, with more than 5.64 million shares changing hands. Market breadth remained negative, as share prices of 176 companies declined, while 82 advanced and 12 remained unchanged.

Asian Hydropower emerged as the top gainer of the day, climbing 11.42%, while SY Panel rose 4.62% and recorded the highest turnover at NRs 277.9 million.

On the losing side, Dhaulagiri Laghubitta Bittiya Sanstha dropped 11.17%, marking the steepest decline among listed companies.