NEPSE falls as flood concerns weigh on insurance, hydropower
Summary
NEPSE fell 0.57 percent last week as flood-related concerns weighed on insurance and hydropower stocks, while turnover and market capitalisation also declined. Analysts said the index is hovering near key support around 2,500, but a stronger rebound will depend on higher trading volume and banking-sector strength.
Key Points
- The NEPSE benchmark fell 14.54 points to 2,542.77 over four trading sessions as market capitalisation and turnover both declined.
- Non-life insurance and hydropower stocks were the biggest drags, with investors worried about disaster-related claims, project damage and new share supply.
- Analyst Manish Aryal said NEPSE may stabilise near 2,500, but a stronger move higher would need daily turnover of around Rs8 billion.
- Banking stocks showed relative resilience and could help drive the next market move, while a break below 2,500 could trigger further selling.
