The Hotels and Tourism Index staged a strong recovery in Thursday’s trading session, bouncing back sharply after consecutive losses and registering a significant gain of 121.14 points or 1.66 percent to close at 7,408.74, signaling renewed investor confidence in Nepal’s tourism and hospitality sector.
The positive performance came after the sector index had declined by 68.85 points in the previous trading session, extending concerns over short-term weakness in tourism-related stocks. However, the latest market session reversed that trend, bringing fresh optimism among investors tracking Nepal’s hospitality and tourism industry.
According to market data, the tourism index opened the day at 7,311.74 and witnessed considerable volatility throughout the trading session. It climbed to an intraday high of 7,420.32, while also dipping to a low of 7,245.04 before eventually settling higher at the closing bell.
Market analysts said the sharp rebound indicates growing investor interest in tourism and hotel-related companies, particularly as Nepal’s tourism industry continues showing positive momentum supported by rising international visitor arrivals and improving business confidence in the hospitality sector.
Nepal Stock Exchange (NEPSE) Index Records Strong Recovery After Week-Long Decline
The broader market also witnessed a major turnaround as the benchmark Nepal Stock Exchange ended its seven-day losing streak, posting a gain of 44.59 points or 1.70 percent to close at 2,652.92. The recovery came a day after the market had declined by 24.63 points, reflecting renewed buying pressure across multiple sectors and stronger investor participation in the trading session.
NEPSE opened the day at 2,606.86 and traded within a relatively stable range before closing near the session’s highest level. During the day, the benchmark index reached an intraday high of 2,654.02, while recording a low of 2,602.39 before ending the session on a positive note. The market recovery has helped restore confidence after nearly a week of continuous decline that had created uncertainty among investors across sectors.
Trading Volume Crosses Rs 3.86 Billion
Investor activity remained relatively strong throughout the session, with total daily turnover reaching Rs 3.86 billion, reflecting healthy market participation. According to exchange figures, a total of 9,547,678 shares were traded during the day involving 362 listed companies through 56,850 individual transactions.
The strong trading volume alongside rising index performance suggests increased investor confidence returning to the market after recent corrections. Analysts believe broad-based buying activity across several sectors contributed to the overall positive market sentiment.
Market Capitalization Reaches Rs 45.43 Kharba
Following the day’s strong recovery, Nepal’s total stock market capitalization stood at Rs 45.43 Kharba, highlighting the overall value of listed companies trading on the exchange. Meanwhile, the float market capitalization, representing actively tradable shares available in the market, reached Rs 15.29 Kharba, reflecting the liquidity available for investors. Market observers noted that Thursday’s strong rebound across both the tourism sector and the broader stock market indicates improving sentiment among investors despite recent volatility.
Tourism Sector Recovery Signals Positive Investor Sentiment
The sharp rise in the Hotels and Tourism Index is being closely watched by tourism industry stakeholders, as the sector remains an important indicator of investor confidence in Nepal’s tourism economy. Tourism-related companies listed on the stock exchange have seen fluctuating performance in recent weeks, but Thursday’s recovery suggests that investors remain optimistic about long-term growth prospects in the sector.
With Nepal’s tourism industry gradually strengthening through increased international arrivals, improving hotel occupancy, and renewed business activity, analysts say tourism stocks may continue attracting investor attention in the coming trading sessions. The latest market rebound has provided a positive signal for both the hospitality sector and the broader financial market, ending recent losses and bringing renewed momentum to Nepal’s stock market performance.
