The Nepal Stock Exchange (Nepse) began the new year by continuing the momentum that the index has been on for the last few days after the formation of the new government. The Nepse index surged by 17.26 points on Sunday, the first trading day of the week. The daily turnover at the benchmark index crossed Rs 4 billion, the highest in five months. The last time when daily turnover crossed the Rs 4 billion mark was on August 3, 2022. Despite the increase, volatility was observed in the market on Sunday with the Nepse index touching an intra-day high of 2083.19 points before falling to an intra-day low of 2032.19 points. The index settled at 2046.26 points.

After the new government noted in its first meeting that problems in the country's capital market will be resolved in the coming days, the stock market is on an upward swing. In the last five trading days after the Pushpa Kamal Dahal-led government came into power, the benchmark index has surged by 179.08 points.

On Sunday's trading, Nabil Bank recorded the highest turnover of Rs 225.7 million while the shares of Api Power Company were the most traded scrips. The share price of 121 companies increased while 87 companies saw their share prices decrease. The Nepse index on December 29 (the last trading day of 2022) surged past the 2000 mark for the first time in four months. The benchmark index had dropped below 2000 points on August 27 amid a bearish run that began over a year ago. The confidence of stock investors seems to have returned after the new government assured that it would address problems in liquidity management and will work to bring down the persistently higher interest rates.