KATHMANDU: The Nepal Stock Exchange (NEPSE) index declined on Thursday, reversing the marginal gains recorded in the previous trading session, as both the benchmark index and daily turnover fell.

The benchmark index dropped 12.95 points to close at 2,652.58 points. Similarly, the Sensitive Index declined by 1.57 points, the Float Index fell 0.96 points, and the Sensitive Float Index decreased by 0.68 points.

Market turnover also declined significantly compared to Wednesday. While shares worth Rs 7.43 billion were traded in the previous session, the total turnover dropped to Rs 4.72 billion on Thursday.

A total of 12.37 million shares of 349 companies were traded through 44,412 transactions during the session, generating a total turnover of Rs 4.72 billion.

Among the traded securities, none recorded a price gain of more than 3 percent. Meanwhile, 10.25% KBL Debenture 2086 registered the highest decline, losing 5.09 percent of its value.

Chirkhwa Hydropower also witnessed a decline of around 4.5 percent, while the share prices of other declining stocks fell by less than 4 percent.

In terms of turnover, Ankhu Khola Hydropower Company topped the list with shares worth Rs 181.9 million traded during the session.

Nepal Reinsurance Company followed with transactions exceeding Rs 145 million, while Ghalemdi Hydro recorded a turnover of more than Rs 140 million.

Sector-wise, only one of the 13 sub-indices ended in positive territory, while the remaining 12 sub-indices recorded losses.

The Microfinance sub-index was the only sector to post a gain, although its increase was marginal.

The Manufacturing and Processing sub-index recorded the steepest decline, falling by 66.12 points during the session.

The broad-based decline across sectors, coupled with lower trading activity, reflected weaker market sentiment on Thursday.