The Nepal Stock Exchange (NEPSE) continued its upward momentum today, posting a robust gain of 53.01 points or 1.91% to close at 2,819.10 points. This follows a modest increase of 4.83 points in the previous trading session, signaling growing investor confidence in the domestic equity market.
The trading day began with the benchmark index opening at 2,781.38 points. The index moved steadily upward, touching an intraday high of 2,822.79 points before witnessing some fluctuations and settling at the day’s close. The lowest point of the session was recorded at 2,767.77 points.
Market activity remained strong, with 14,986,142 shares changing hands across 321 listed companies through a total of 72,528 transactions. The day’s total turnover amounted to Rs. 7.68 Arba, reflecting healthy market liquidity and active investor participation. At the close of the session, NEPSE’s market capitalization stood at Rs. 47.10 Kharba, while the float market capitalization was recorded at Rs. 15.93 Kharba.
Hotel & Tourism Sector Outperforms
Among the various sectors, the Hotel & Tourism index emerged as a strong performer, adding 117.47 points or 1.66% to settle at 7,155.58 points. This comes after the sector recorded a smaller gain of 12.34 points in the previous session.
The Hotel & Tourism sector’s index opened the day at 7,055.52 points and climbed steadily, reaching an intraday high of 7,170.30 points before dipping slightly. The lowest point in the session for the sector was 7,029.55 points. The strong performance of this sector is attributed to increased optimism around Nepal’s tourism recovery, upcoming festival seasons, and rising hotel bookings.
Broader Market Sentiment Positive
Today’s gains reflect a broadly positive sentiment across the market, with multiple sectors contributing to the benchmark index’s rise. Analysts suggest that the current upward trend is being supported by stable liquidity conditions, positive corporate earnings expectations, and growing investor interest in tourism-related and financial stocks.
Market observers noted that the sustained interest in the Hotel & Tourism sector is particularly significant, as it indicates confidence in the revival of Nepal’s travel and hospitality industry after years of pandemic-related challenges. Furthermore, the broader index’s performance suggests renewed buying pressure from both institutional and retail investors.
Key Takeaways for Investors
The strong performance in NEPSE over the past two trading sessions has caught the attention of traders and long-term investors alike. With the benchmark index closing near the upper range of its intraday movement, technical analysts believe the market could test higher resistance levels in the coming days if the buying momentum continues.
However, they also caution that profit-taking could emerge after such strong gains, especially in high-performing sectors like Hotel & Tourism. Investors are advised to monitor upcoming corporate announcements, quarterly results, and macroeconomic indicators that could influence market direction.
Market Outlook
With NEPSE currently hovering above the 2,800 mark, market participants are watching closely to see if the index can sustain this momentum. The recent surge in turnover and transaction volume indicates robust participation, which could support further gains if positive sentiment persists.
The tourism sector’s outperformance is expected to continue in the short term, given Nepal’s seasonal influx of travelers, particularly during the upcoming festivals and trekking season. Additionally, other sectors such as banking, hydropower, and manufacturing are also expected to play a role in sustaining the market’s bullish momentum.
Today’s trading session showcased strong investor confidence, a resilient upward trend in the NEPSE index, and notable strength in the Hotel & Tourism sector. While opportunities appear abundant, market analysts advise a balanced approach, capitalizing on growth prospects while being mindful of short-term corrections.
