Kathmandu, Dec 10: Following a 40-minute delay in opening today, the Nepal Stock Exchange (NEPSE) witnessed a remarkable 6 percent surge. However, the day’s trading was abruptly halted after just 2 minutes of activity.
On Sunday, the first day of the week, the NEPSE index soared by 6 percent, prompting a full-day suspension of trading.
Upon resumption today, the market experienced a rapid 6 percent increase within the initial 2 minutes of trading, resulting in an immediate closure. According to people familier with the sharemarket, the NEPSE surge was seen partly because of the first quarterly review of the Monetary Policy by Nepal Rastra Bank.
The NEPSE index recorded a gain of 111.20 points, settling at 1963 points.
The day’s turbulence included a 20-minute trading halt after a swift 4 percent surge within the first 5 minutes of the market opening.
Following this, the market resumed and, after consistently rising beyond 4 percent, faced another 40-minute break upon reaching a 5 percent increase.
Market dynamics seem to dictate specific intervals for trading interruptions. A 4 percent rise triggers a 20-minute hiatus, while a 5 percent increase prompts a 40-minute break within 2 hours. Moreover, if the market witnesses a 6 percent surge, trading remains suspended for the entire day.
