NEPSE Rebounds with Double-Digit Gains After Consecutive Losses; Turnover Shrinks

Oct 6, 2026
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Following two consecutive sessions of losses, the Nepal Stock Exchange (NEPSE) index saw a modest recovery on Tuesday. The benchmark index rebounded by 11.96 points (+0.46%) to close at 2,578.73 points.

Despite the positive momentum in the index, overall market turnover contracted, signaling that major market participants remain cautious and adopted a "wait-and-watch" approach.

1. Key Market Indicators & Overview

Major and auxiliary indices experienced across-the-board green sessions:

Index / Indicator	Value / Volume	Change / Status
NEPSE Index	2,578.73 points	+11.96 points
Sensitive Index	—	+2.00 points
Float Index	—	+0.82 points
Sensitive Float Index	—	+0.75 points
Total Turnover	NPR 3.138 Billion	Decreased from NPR 3.27 Billion (Monday)
Traded Volume	8,955,000 shares	41,607 transactions across 359 stocks

2. Market Analysis: Why Index Rose While Turnover Declined

Consolidation Phase: Retail and short-term traders stepped in at lower valuation points following two days of declines, driving up the index. However, institutional buyers held back, leading to lower aggregate trading volume.
Muted Volatility: Most individual stocks moved within a narrow band (under 4–5% gain/loss). This suggests a temporary stabilization rather than an aggressive market breakout.

3. Sectoral (Sub-Indices) Performance

Out of the 13 sub-sectors, 11 ended in positive territory while 2 recorded minor losses:

Top Sector Gainers: The Life Insurance sub-index led the rally, surging by 41.10 points.
Laggards: Microfinance and Non-Life Insurance sub-indices registered marginal declines.

4. Top Gainers, Losers & Highest Turnover Stocks

Price Gainers and Losers

Top Gainer: Trishuli Jalavidhyut Company saw the highest gain, rising by 5.11%. All other advancing stocks gained under 4%.
Top Losers: Sarbottam Cements dropped by nearly 5%, while AIBL Growth Fund units fell by roughly 4.5%. Overall downside was capped under 5% for all stocks.

Top Traded Stocks by Turnover

The hydropower sector dominated liquidity and investor activity:

Ghalemdi Hydro: NPR 239.1 Million (Ranked 1st)
Liberty Energy: ~NPR 140 Million
Himal Dolakha Hydropower: >NPR 95 Million

Market Outlook

While Tuesday’s session offered short-term support to the market, the lower turnover indicates that a sustained bullish momentum will require clearer signals and stronger buying volume in subsequent trading sessions. Focus remains on the hydropower and life insurance sectors for directional cues.