Wall Street slides further after Spain confirms first Corona virus case while NEPSE keeps up with the strong bullish signal

Opening Bell at the NYSE

   US markets tried to bounce back after a massive losing day yesterday where the Dow dropped 1032 points in a single trading day. Experts say that Corona virus is the reason behind the nervous Wall Street along with the rise of Bernie Sanders who is not viewed quite positively by the Wall Street. Today, markets started with a sigh of improvement but analysis said the start is really poor given the fact that markets would have tried to bounce back strongly after a big loss. After the loss US President Donald Trump tweeted "Stock Market starting to look very good to me!". Big news on the day is the news about a possible merger between HP and XEROX. Stock markets remain highly affected and a short term bearish movement is clearly visible.Major indicators have started to drop again after Spain confirms it's first Corona virus case.

A Look at the Nepalese Capital Market

While all major Global stock markets are declining, Nepal's only benchmark index NEPSE increased by 2.86% due to the aggressive demand of shares. NEPSE has gained more than 21% since the last  month as the index stood at 1276 points on January 26. The rise of the stock market is justified by the huge demand of shares in the Insurance and Microfinance sector. Still, the commercial banking sector which comprises about half capitalization of the index is underperforming with increment of only 16% since January 26.  During this period, Microfinance sector gained more than 39%, life insurance sector gained more than 31% and non life insurance gained 38% and this data clearly explains this swing in the index. The daily turnover currently stands at 3 billion NRs. approximately 26 million USD. 

Sources:
www.tradingview.com
www.nepalstock.com.np
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