Kathmandu-On the second trading day of the week, the Nepal  Stock  Exchange (NEPSE) index slipped 3.07 points and closed at 2769.09.

Shares of 332 companies were traded. A total of 36.26 million shares changed hands. Total turnover reached Rs 16.35 billion.

The Sensitive Index fell 0.34 percent. The Sensitive Float Index declined 0.11 percent. The Float Index dropped 0.32 percent.

Shares of SY Panel Nepal, Him Star Energy, Sanvi Energy, Saptakoshi Development Bank, and Mountain Hydro Nepal hit the circuit level. Corporate Development Bank gained nearly 9 percent. Losses in declining stocks remained below 4 percent.

By turnover, Himalayan Power Partner led the market with Rs 659.3 million in transactions. Ankhu Khola Hydropower recorded over Rs 560 million in trading. Manjushree Finance posted turnover above Rs 520 million.

Out of 13 sub indices, four advanced while nine declined. The hotel and tourism index rose the most, up 1.67 percent.

Last week, the market opened for four trading days. The index gained on three days and declined on one. Overall, NEPSE rose 73.18 points to 2714.61.

The market has begun to move higher ahead of the election after failing to show the expected recovery earlier. Investors expect political stability following the election scheduled for Falgun 21. Institutional investors say the market could reach new highs after the polls.

Analysts say the recent rise has improved sentiment despite volatility. They expect the upward trend to continue, with gains likely through the week and stronger momentum after the election.

Expectations of new leadership in the next government have supported sentiment. Investors appear more confident as the current election government signals private sector friendly policies and increased focus on the capital market.

After the surge seen last Shrawan, the market turned volatile and the upward trend weakened.

Investors continue to wait for the index to cross the all time high of 3199.03 points recorded on Bhadra 2, 2078. The market reached 3000.81 points on Shrawan 31 last year and later touched 3002.08 points on Shrawan 13.