By A Staff Reporter, Kathmandu, Oct. 5: The benchmark capital market index NEPSE recorded 3.63 points fall on Monday. The index that opened at 1,585.74 points in the morning declined by 0.23 per cent and closed at 1,582.12 points.

The index, which had increased up to 1,595 points soon after the opening of the market, showed fluctuation afterward. The index fluctuated between 1,595 and 1,581 throughout the day.

The Index had shown double-digit increments in the last two days of the transaction. The decline in the index after the increase in the index by 34 points in the last two days is just a correction in the index led by the profit booking nature of investors, said Manoj Budhathoki, a share market analyst.

Budhathoki said that the NEPSE was showing sustainable growth in the last few months as the growth of the index was slow and there was regular correction between every significant increment.

He said that the market tended to grow further at a slow pace due to the entry of new investors in the sector in line with cheap credit for investment.

The sensitive index which measures the performance of group ‘A’ companies, however, increased by 0.11 points on Monday.

Despite the decline in the index, the volume of transactions remained high in Monday’s transaction. The stock exchange-traded 9,518,765 unit shares worth Rs. 2.57 billion of 193 companies in 39,587 transactions on Monday. It had traded 11,086,480 unit shares worth Rs. 2.81 billion on Sunday.

In today’s transaction, sub-indices of banking, trading, finance, life insurance, non-life insurance, manufacturing and microfinance sector recorded an increasing trend while that of hotels, development banks, hydropower, others and mutual funds recorded a decreasing trend.