Indian stock exchanges will hold live trading session on Sunday, February 1 for Union Budget
Standard market hours will apply, with regular trading from 9:15 am to 3:30 pm
T+0 settlement and auction sessions are cancelled for the day due to a settlement holiday
Indian stock exchanges will remain open for live trading on Sunday, February 1, 2026, when Finance Minister Nirmala Sitharaman presents the Union Budget at 11 am, marking a rare working Sunday for Dalal Street. BSE and NSE said trading will follow normal market hours, with a pre-open session from 9:00 am to 9:08 am and regular trading from 9:15 am to 3:30 pm.
In separate circulars issued on Friday, the exchanges clarified that while equity and derivatives markets will function as usual, certain sessions will be skipped. BSE said T+0 settlement sessions and auction sessions for settlement defaults will not be conducted on that day. The Finance Ministry had earlier confirmed the Budget date on January 12, prompting the exchanges to align their schedules accordingly.
1 January 2026
Get the latest issue of Outlook Business
Following the Precedent
The move follows recent precedent, with the Union Budget being presented on February 1 in successive years, even when the date falls on a weekend. This year’s exercise will be Sitharaman’s ninth consecutive Budget presentation, placing her among the longest-serving finance ministers in terms of uninterrupted Budget speeches. As is customary, the Economic Survey will be tabled ahead of the Budget, followed by a press briefing by Chief Economic Advisor V. Anantha Nageswaran and senior officials.
Investors are heading into the Budget with a clear set of expectations, particularly around taxation. Market participants, including brokers and asset managers, are pushing for reforms in the capital-gains framework, such as lower long-term capital gains tax rates, reduced securities transaction tax, higher exemption limits, uniform holding periods across asset classes and the restoration of indexation benefits. They argue these measures would encourage long-term savings and stabilise investor sentiment after a volatile year.
Market Calendar
Alongside the Budget-related announcement, the exchanges also released their 2026 holiday calendar, which lists 16 market holidays apart from weekends. Closures in the first half of the year include Holi on March 3, Ram Navami on March 26, Mahavir Jayanti on March 31 and Good Friday on April 3, with later holidays extending through Christmas on December 25.
The decision to keep markets open on Budget Sunday comes weeks after exchanges shut trading for a municipal election in Mumbai, a move that drew criticism from sections of the market. Zerodha co-founder Nithin Kamath had described that shutdown as poor planning, arguing it overlooked the needs of an internationally connected market. With trading set to go live on February 1, investors will closely track the Economic Survey, fiscal signals and tax announcements for cues on market direction during the Budget session.
