Kathmandu: After a long period of continuous decline, the stock market has made investors somewhat excited this week. Investors have got some relief after the Nepse index turned positive for four consecutive days this week. On Thursday, the index was under pressure due to profit booking.
The prices of listed companies have become very cheap in the continuously declining stock market. Investors have been attracted to the market as prices have fallen. Also, after the decision of the Bankers Association not to increase the interest rate on deposits for May, the market has shown enthusiasm. On the other hand, with the election environment, money has started coming into the market and many have analyzed that the money will go to the financial system after the election.
As the end of the fiscal year is approaching, the government’s taxes are likely to increase. Due to all these factors, liquidity is expected to ease and stock market may become more positive. The stock market does not just continue to rise or fall.
The declining market should also be taken as an investment opportunity. Investors are more likely to benefit from the stock market if they make sound investments by studying the financial statements of companies and basic and technical analyzes.