The Indian stock markets will be open for trading even though today is a Saturday (February 1). The exception comes as Finance Minister Nirmala Sitharaman is set to present the Union Budget 2025-26.
Both the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE) will operate during their regular trading hours to accommodate market participants in the run-up to and following the Budget announcements.
Why are markets open on a Saturday?
Indian stock markets generally remain closed on weekends, but exceptions are made for significant events like the Union Budget.
In the past, such instances occurred on February 1, 2020, and February 28, 2015, when the Budget was also presented on a Saturday.
The special trading day ensures investors can immediately respond to government announcements.
According to a circular from the NSE, trading will follow the standard schedule from 9:15 am. to 3:30 pm.
For those engaged in pre-market trading, the NSE will operate from 9:00 am. to 9:08 am.
The BSE has also confirmed that indices will be calculated as usual during the special trading session.
Expectations for the Budget are tempered by recent economic trends. Citing discussions with several investors, Motilal Oswal pointed to a prevalent “sense of despondency on government capex, after about a 12 per cent year-on-year dip between Apr’24 and Nov’24 and limited visibility of on-the-ground pickup in recent months as well.”
The brokerage house believes that capex allocation exceeding ?11 trillion, paired with clear commentary, could positively surprise investors.
However, there is concern over the possibility of increased spending on populist measures, following a series of promises for freebies across multiple state elections.
Tax-related announcements could significantly influence market movements.
Changes to Securities Transaction Tax (STT), Long-Term Capital Gains (LTCG), or Short-Term Capital Gains (STCG) taxes may prompt volatility.
HDFC Securities, however, expects only minor adjustments, citing the government’s ongoing tax rationalisation efforts. “Depending on the budgetary announcements, Nifty may swing wildly on either side,” the brokerage noted in its report.
Traders and investors alike are advised to maintain caution.
Link to article –
Budget 2025: Is the share market open today? Will FM Sitharaman’s speech shock the stocks?
