NEPSE slides as flood fears hit insurance and hydropower stocks
The Nepal Stock Exchange dropped about 0.57% last week, erasing roughly Rs30 billion in market value as flood concerns over the Bhotekoshi disaster weighed on insurance and hydropower shares.
From August 31 to September 3 the NEPSE benchmark slipped 0.57% to 2,542.77, wiping about Rs30 billion from the market and leaving the index below its 20-day and 50-day moving averages. The Sensitive Index fell 0.36% to 449.50, and total turnover dropped 18.51% to Rs12.81 billion, reflecting thin trading. Insurance firms, especially non-life carriers, suffered the steepest declines as investors priced in potential claim costs from the Bhotekoshi flood, while hydropower stocks retreated due to damage fears and looming share releases.
Banking remained one of the few resilient sectors, and a handful of stocks such as Upakar Laghubitta rose sharply. Analyst Manish Aryal noted that the market is hovering near the 2,500 support level and could rebound if daily turnover rises to around Rs8 billion, but bearish momentum persists as indicated by a negative MACD.
