Explained: Why do stock exchanges conduct special trading sessions?

Explained: Why do stock exchanges conduct special trading sessions?

Stock exchanges often announce special trading sessions on public holidays or weekly days off (Saturday and Sunday) from time to time. This happens for several reasons.

In this article, let’s look at some of these reasons.

There are four main reasons why exchanges — like BSE and NSE — conduct special trading sessions at times.

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You may guess the most common one: Diwali.

Muhurat trading on Diwali | It can happen even on Saturdays or Sundays!

For the unversed, each year, the exchanges conduct a special, typically one-hour-long session to enable market participants to celebrate the onset of the new year as per the Hindu calendar known as the ‘Samvat’ calendar.

This session is organised based on special timings, known as ‘muhurat’ in Hindu tradition, as a symbolic and auspicious beginning to the lunar year — the Samvat calendar runs on the lunar schedule.

For instance, in 2023, Muhurat trading was held on Sunday, November 12, 2023.

In 2025, the Muhurat trading session is scheduled on October 21. 

 

 

How many other instances can you recall when the exchanges are open on Saturdays, Sundays or public holidays?

Let’s take a look at some of the other major situations where these bourses have conducted special trading sessions in the recent past:

Market drills or system checks

Exchanges run mock drills for technical reasons, like testing their backup systems and preparedness periodically to test trading infrastructure and verify system performance and stability.

This enables market infrastructure institutions to test their systems in a real-life situation.

For instance, NSE has scheduled a special trading session on August 30. 

Bourses conducted two special trading sessions on April 5 and June 21 to test their systems and disaster recovery mechanisms.

Election-related sessions

On Saturday, May 18, 2024, NSE and BSE conducted a special trading session even though markets were officially closed due to polling.

This allowed investors and the market to respond ahead of the main trading resumption.

Major economic events

Exchanges conduct special sessions to accommodate important economic events such as the presentation of Union Budget in Parliament.

For instance, on Saturday, February 1, 2025, a special trading session was organised that allowed market participants to trade without waiting for the next regular trading day.

ALSO READ: Budget 2025 | Farmers, income tax, women & middle class focus: 10 key announcements

Here’s a list of some of the special trading sessions held on Dalal Street over the past few years:

  • Saturday, June 21, 2025: Mock drill
  • Saturday, April 5, 2025: Mock drill
  • Saturday, February 1, 2025: Budget
  • Friday, November 1, 2024: Muhurat trading 
  • Saturday, May 18, 2024: Polling day
  • Sunday, November 12, 2023 (Sunday): Muhurat trading 

 

 

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