On the occasion of Eid-Ul-Fitr, widely known as Ramzan Id, India’s leading financial trading platforms including the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) will be pausing their operations. The stock exchanges have announced a complete trading halt on Thursday, April 10, 2024, as market participants and the nation alike take a moment to celebrate the conclusion of Ramadan, the Islamic holy month of fasting.
In conjunction with the BSE and NSE, the National Commodity and Derivatives Exchange (NCDEX) is also set to go silent on the same day. As India’s primary agricultural commodity exchange, NCDEX’s closure underscores the impact of the holiday on various sectors of the financial market.
Meanwhile, the Multi Commodity Exchange (MCX), renowned for facilitating trade in numerous commodity derivatives, will observe partial holiday hours. Operations at the MCX will be on hold from the morning at 9 am until the evening at 5 pm. Following this break, normal trading activities will resume.
This brief pause in trading comes during a period of several upcoming market holidays to watch out for. Other notable dates when trading will be suspended include April 17 for Ram Navami, May 1 for Maharashtra Day, June 17 on account of Bakri Id, July 17 for Muharram, August 15 marking Independence Day, October 2 for Mahatma Gandhi’s Birthday, November 1 for Diwali, November 15 for Gurunanak Jayanti, and December 25 to celebrate Christmas.
The announcement comes in the backdrop of a notably strong performance by the Indian stock markets. The Sensex, India’s benchmark equity index, has made headlines by breaching the 75,000 level for the very first time. Mirroring this achievement, the Nifty 50 index has also scaled new heights, ending the trading day at an unprecedented closing high.
Taking a closer look at the day’s trading, the Sensex had an optimistic start, opening with a 270-point increase to 74,953.96, which was above the previous close of 74,683.70. The buoyancy continued throughout the trading session with Sensex hitting an intra-day peak of 75,105.14, before finally drawing the day’s trading to close at 75,038.15. This marked an elevation of 354 points or a 0.47 percent incline from its last closing mark.
The Sensex’s remarkable milestone has been the talk of the business world, as it underscored the bullish run and the overall optimism prevailing in the Indian stock market. Market experts attribute this performance to a confluence of factors ranging from robust corporate earnings, strong foreign direct investments, and an increasingly stable economic environment fostered by progressive governmental policies and reforms.
On days such as Eid-Ul-Fitr, when the Indian equity markets close, investors and traders take the time to strategize and plan for the next phase of trading. The break provides a welcome respite to reflect on the past performances and gather insights for upcoming market dynamics.
The impact of such closures on the Indian economy is usually minimal, given the fact that holidays are anticipated and market operations are adjusted accordingly. While the momentary stillness on the financial front on account of Eid-Ul-Fitr represents a moment of cultural and religious significance, the vibrant energy of the markets is sure to return with the re-opening of the exchanges, as investors and traders resume their activities with renewed vigor and a sense of celebration.
