Stock market rally after Koirala elected prime minister

The stock market today reacted positively to the election of Nepali Congress president Sushil Koirala as the new prime minister of the country.

The Nepal Stock Exchange (Nepse) index crossed 800-point mark after almost two months on the election of democrat for the top job of the country.

The Nepse surged by 19.13 points or 2.44 per cent to close the market today at 803.13 points, after Koirala received overwhelming support to lead the new government.

As the uncertainty ended with the election of the prime minister, the index shot up by over three per cent – for the first time – attracting circuit breaker and and four per cent – for the second time – again attracting circuit breaker.

The market confidence also boosted due to liberal government in offing.

The investors started offloading to book the profit as the market started looking up. With the heavy buying and selling of stocks, the Nepse today witnessed some Rs 400.97 million worth transaction in a day.