Indian stock markets will remain closed on Tuesday on account of Holi, even though several states are set to celebrate the festival on Wednesday (March 4). The differing dates have led to confusion among traders, particularly as Holika Dahan was observed late on March 2 and colour celebrations in many regions are scheduled for March 4.
Both the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE) have announced a complete trading holiday on March 3. Trading will remain suspended across equity, derivatives and securities lending and borrowing (SLB) segments. Normal operations will resume on Wednesday, when large parts of the country will observe Holi festivities.
The Multi Commodity Exchange of India (MCX), the country’s largest non-agricultural commodity exchange, will be closed during the morning session from 9 am to 5 pm on Tuesday but will reopen for the evening session between 5 pm and 11:55 pm. In contrast, the National Commodity and Derivatives Exchange (NCDEX) will remain shut for the entire day.
Holiday Timing Sparks Debate
The scheduling of the holiday has drawn mixed reactions from market participants. With Holika Dahan marked on March 2 in many areas and Holi celebrations planned for March 4 in several states, some traders questioned why exchanges opted for a Tuesday closure this year.
One market participant expressed dissatisfaction on social media, arguing that major festivals such as Diwali and Holi should not have mismatched trading holidays. He even suggested that traders consider voluntarily refraining from trading on March 4 in protest.
In an earlier comment, the same user pointed out that while Holika Dahan took place late Monday night, the main Holi celebrations would be held on March 4 in many regions, adding to the confusion. Some also noted that Tuesday coincides with a lunar eclipse.
The Reserve Bank of India holiday calendar reflects regional variations in festival observances. March 2 was marked for Holika Dahan in certain states, while March 3 is listed for Holi (Second Day), Dol Jatra, Dhulandi, Holika Dahan or Attukal Pongala in different parts of the country. March 4 is separately recognised as Holi second day, Dhuleti or Yaosang second day in select regions.
Samir Arora of Helios Capital also weighed in, suggesting that markets could have remained shut on Wednesday as well, since Holi will be widely celebrated that day. He added that a two-day break might have provided clearer visibility on global developments, including the ongoing Iran conflict, and helped reduce potential market volatility.
