Stock Market Holiday: No More Holidays On Trading In Equity, Derivatives On BSE, NSE Till March 2024; WHY?

Stock market is all set to step in February month, however, there will be no extra holidays for trading in equities, equity derivatives, and other market-related instruments. The next extra holiday excluding Saturdays and Sundays will take place in March 2024.

As per the holiday list on BSE and NSE, stock market were closed on two extra days in January 2024. These were January 22nd for Ram Mandir ceremony in Ayodhya which was called as a special holiday, and secondly for January 26 due to Republic Day which is a compulsory national holiday. Apart from this, market were closed on three Saturdays and Sundays of the month excluding January 20th when a special regular trading took place.

In total, stock market were closed for 9 days in January 2024. However, this will not be the case in February, as market will only be closed on Saturdays and Sundays which are weekends. In simple words, trading in Indian stocks market will be open on all weekdays of February.

It needs to be noted that the Saturdays and Sundays are holidays for stock market by default and are not counted for special or extra holidays in a month for celebrations, ocassions, festivals or any other important events in the country.

In total, market will be closed on 8 days in February which are only the weekends until if any further notices.

The next special holidays or events for no trading on BSE and NSE will be in March 2024. Market will be closed on 8th March for Mahashivratri, 25th March for Holi, on 29th March for Good Friday. In total, there will be 13 holidays in March month including the weekends.

In recent times, market have significantly corrected as investors booked profits after Sensex and Nifty reached record high levels. Indian market were overvalued in Emerging market and corrections are on expected lines.

Last week, on January 25, Sensex closed at 70,700.67, down by 0.51%, while Nifty ended at 21,352.60, lower by 101.35 points or 0.47%.

On the market's weekly performance, Vinod Nair, Head of Research, Geojit Financial Services said, "In response to a mixed global market trend, the retreat in the market was pronounced, with significant declines in IT and banking stocks. Despite encouraging Indian PMI data, the market struggled to rally. This downturn was due to apprehensions about the impending rate decisions from the ECB, which is expected to maintain current rates. Anticipation of the Fed policy meeting next week, likely retaining the existing rate, triggered increased US bond yields and FII selling in the market."

Nair added, "While US PMI figures were positive, all eyes are on today's release of US GDP data and jobless claims, shedding light on the US economy and potential policy rate decisions. Notably, the PBOC's 0.5% cut in the reserve ratio, aimed at stimulating growth and financial liquidity, provided short-term support to the domestic market this week."

"Investors, however, await additional details on China's comprehensive stimulus plans. The broader market is unable to hold gains due to high valuations, subpar results, and persisting geopolitical tension in the Middle East, followed by an F&O expiry weighing down the market," Nair said.

Going forward, Nair added, "global market factors like the policy rate decisions of major countries will affect the market, and markets are likely to witness stock-specific actions during the ongoing earnings season."