Second Negative Circuit in Nepse

Kathmandu – The Nepal Stock Exchange (Nepse) has faced its second negative circuit on Thursday. Within just the second minute of trading, the benchmark index dropped by 107.04 points, or 4 percent, triggering the first negative circuit and halting transactions for 20 minutes.

When the market reopened after the break, it again plunged sharply—this time by 133.63 points, or 5 percent—leading to the second negative circuit. As a result, trading has now been suspended for 40 minutes. According to Nepse rules, if the index rises or falls by 4 percent within the first hour of trading, the market halts for 20 minutes. If it moves by 5 percent within the second hour, trading is suspended for 40 minutes. Similarly, if the index fluctuates by 6 percent or more in a single day, the market closes for the rest of that session.