Stock Market Holidays 2024, Diwali Laxmi Pujan: Is Trading On BSE, NSE Opened Or Closed On November 1?

Stock market holidays 2024: The start of November 2024 is officially declared as stock market holiday due to the celebration of Diwali Laxmi Pujan across the country. However, despite stock market holiday on November 1, trading on BSE and NSE will be opened for a period of 1-hour, and during this special session investors can buy or sell in capital market-related instruments.

Does that mean is there a stock market holiday on November 1? Yes, there is a stock market holiday of normal trading hours on BSE and NSE, which starts at 9:15 AM and ends at 3.45 PM every day.

However, there is a special trading session on November 1, which is after normal market hours. This special trading on BSE and NSE will be open from 17:45 PM to 19:00 PM including pre-market procedure as well. Why? This is called Muhurat trading which takes place every year on Laxmi Pujan aka the Badi Diwali.

Trading will be open for this 1-hour on both BSE and NSE. Investors can buy or sell in equity, equity derivatives, derivatives, currency, currency derivatives, commodities, SLB and much more in this special session.

The session will have a similar pattern as normal trading: Block Deal Session; Pre-Open Session; Normal Market Session; And Closing Session.

Before Muhurat Trading, Sensex dipped by 553.12 points or 0.69% to end at 79,389.06, while Nifty 50 closed at 24,205.35 lower by 135.50 points or 0.6% on October 31. Sensex's weekly performance is down by 289.79 points or 0.36%, and that of Nifty 50 underperformed its counterpart with the decline of 223.85 points or 0.92%.

What is Muhurat Trading?

As per the Kotak Securities website, the word "muhurat" means "auspicious time," and the session typically lasts an hour in the evening on Diwali, marking the beginning of the traditional Hindu accounting year, Samvat.

Further, it explained, that the significance of Muhurat Trading is tied to cultural and religious beliefs, where it is considered highly fortunate to begin new ventures on Diwali. Despite the limited time, Muhurat Trading usually attracts a lot of participation, and the stock market tends to witness positive sentiment during this time.

Benefits of Muhurat Trading:

According to HDFC Bank's website, the following are the benefits of Muhurat Trading 2024:

1. Potentially Favourable Market Conditions: Market conditions may be favourable during Muhurat trading as many investors tend to buy shares during this day.

2. Portfolio Rebalancing Opportunities: Muhurat Trading also presents an opportunity for investors to rebalance their portfolios and make strategic investments. As an investor, you may take advantage of potential price fluctuations during the session.

3. Enhanced Market Participation: Muhurat Trading may attract new investors considering the symbolic belief associated with it.