What are our boundaries these days? We don’t have timelines, do we? Just a decade or more ago, we would wait for banking hours to make a money transaction – is it the same today? Definitely not. Today we make these transfers at any time, just through our phones or the interest. The same applies to every other aspect. We don’t wait for the stock market to open to trade, though we can make purchases when it is closed, it performs only when opened.
Just like how every other market has ‘holidays’, so does the Stock Market, which means the stock market is not open for the entire year. It’s hard to know every working day, don’t worry – if you are new, you are probably stumbling from place to place trying to find answers. This piece has the answer to, “how many days is the stock market open in a year?” So, let’s talk about it.
Does the Stock Market have Holidays?
Stock market closures are controlled by holidays and weekends, regardless of whether the market is bull or bear. There are nine calendar days each year when the stock markets are closed.
Not all of these holidays are federally recognized, which is what most banks do. Here are the additional holidays when most banks are closed, so you may be unable to place an order on these days.
Can I Trade While the Stock Market is Closed?
Yes, technically. The stock exchanges have a pre-opening session, during which you can enter orders that will be queued until the market opens. Furthermore, they provide after-hours trading, which normally concludes at 8. Technically, you can also trade on weekends through international markets where time differences may allow you to make orders.
However, orders cannot be placed on BSE holidays or weekends when the stock market is closed.
Trading after hours has advantages over trading during normal business hours. The ease of use and flexibility enable investors to respond more quickly to news events that may affect companies. Because earnings are released outside typical trading hours, you may utilize that amount to better strategize the orders you do place.
However, you must also consider the constraints of after-hours trading. For one thing, you can only place limited orders during this time, which means you can only buy or sell a stock at a specific price. And, because fewer shares are exchanged during these hours, there is higher volatility in terms of share price and liquidity – the difference between the highest asking price and the lowest selling price.
Here are some of the commonly listed holidays on Indian Stock markets to allow you to better understand.
- Republic Day
- Mahavir Jayanti
- Good Friday
- Independence Day
- Ganesh Chaturthi
- Lakshmi Pooja
- Gurunanak Jayanti
- New Year
- Ram Navami
- Maharashtra Day
- Mahatma Gandhi Jayanti
Now you know that the stock market does not operate 365 days. But there is something more you need to know about this. The working hours of the stock market. It is quite hard to understand the working hours of the stock market, so here is an overview of the whole of Asia for a better understanding and a broader view.
Stock Market Hours in Asia
While the NYSE, NASDAQ, and TMX Group do not close for lunch, several Asian markets do. The Tokyo Stock Exchange, for example, is open from 9 a.m. to 11:30 a.m. and 12:30 p.m. to 3 p.m. Japan Standard Time (JST). The Tokyo Stock Exchange is closed on 22 holidays each year, including New Year’s Day, market holidays on January 2 and 3, Coming of Age Day, National Foundation Day, Emperor’s Birthday, Vernal Equinox, Showa Day, Constitution Memorial Day, Greenery Day, Children’s Day, Marine Day, Mountain Day, Respect for the Elderly Day, Autumnal Equinox, Sports Day, Labour Thanksgiving Day, and a market holiday on December 31.
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The Shanghai Stock Exchange, based in Shanghai, and the Shenzhen Stock Exchange, based in Shenzhen, China, are both open from 9:30 a.m. to 11:30 a.m. and 1 p.m. to 3 p.m. China Standard Time (CST). Both are closed for 15 holidays each year, including New Year’s Day, five days in February for the Spring Festival, Qingming Festival, Labour Day, Dragon Boat Festival, two days in October for the Mid-Autumn Festival, and four days in October for National Days.
The Hong Kong Stock Exchange is open from 9:30 a.m. to 12 p.m. and 1 p.m. to 4 p.m. Hong Kong Time (HKT). It also closes for 17 holidays each year, including New Year’s Day, three days for the Lunar New Year, the Qingming Festival, Good Friday, Easter Monday, Labour Day, Dragon Boat Festival, Special Administrative Region Establishment Day, three National Days, and two days for Christmas and New Year’s.
The Bombay Stock Exchange is open from 9:15 a.m. to 3:30 p.m. Indian Standard Time (IST). Republic Day, Mahashrivati, Holi, Dr. Baba Saheb Ambedkar Jayanti, Good Friday, Ram Navami, Eid-Ul-Fitr, Bakri Id, Independence Day, Ganesh Chaturthi, Muharram, Mahatma Gandhi Jayanti, Dussehra, Diwali, Gurunanak Jayanti, and Christmas are among the 14 holidays observed each year.
Hope you found what you were looking for, but you need to know that these holidays change every year, which means you have to keep yourself updated.
How many days is the stock market open in a year? There is no exact answer to that because the holidays of the stock market vary now and then. But if there is one perfect answer to that – it does not open 365 days in a year.