The Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) remained closed on Wednesday, August 27, in observance of Ganesh Chaturthi, a major Hindu festival celebrated across India.
All trading activity across equities, derivatives, Securities Lending and Borrowing (SLB), currency, and interest rate segments stayed suspended for the day.
The commodity derivatives segment also observed a partial holiday, with trading shut during the morning session (9 AM to 5 PM).
However, trading will resume for the evening session (5 PM to 11:55 PM). Full market activity is scheduled to resume on Thursday, August 28.
While the markets remained closed for the festival, investors and analysts are bracing for possible volatility on Thursday.
This comes in the wake of new 25% US tariffs on Indian goods, which take effect today, effectively doubling the total duties to 50% on certain exports.
According to government data, India’s major exports to the US include engineering and electronic goods, pharmaceuticals, and gems and jewellery.
The hike in duties is expected to weigh on investor sentiment, particularly for sectors linked to exports.
Weak Market Ahead of Holiday
Ahead of the holiday, Indian equity markets ended in the red on August 26. The Sensex fell by 849 points (1.04%) to 80,786.54, while the Nifty declined 255 points (1.02%), closing at 24,712.
Among major laggards in the Nifty pack were Shriram Finance, Sun Pharma, Tata Steel, Bajaj Finance, and Trent.
On the other hand, Eicher Motors, HUL, Maruti Suzuki, Nestle India, and ITC posted gains.
All sectoral indices, except FMCG, closed lower. Segments such as PSU Banks, metals, pharma, oil & gas, realty, and telecom witnessed declines of 1–2%.
Analysts noted that the Nifty had slipped below a key support level (24,850), and a long bearish candle formed on the daily charts signalled further downside risks.
In contrast to domestic weakness, US markets closed higher overnight, with the Dow Jones up 0.3%, Nasdaq gaining 0.44%, and the S&P 500 rising 0.41%.
Meanwhile, Asia-Pacific markets showed mixed performance on Wednesday as investors reacted to China’s industrial profit data.
On Tuesday, foreign institutional investors (FIIs) offloaded Indian equities worth ₹6,517 crore, marking their highest net selling since May 20.
In contrast, domestic institutional investors (DIIs) remained bullish, with net purchases worth ₹7,060 crore, according to provisional exchange data.
As markets reopen, traders will watch for reactions to the US tariff hike, global cues, and institutional flows, all of which could shape short-term trends in Indian equities.
Also Read: Nifty & Sensex Open In Red; Metals & Pharma Lead Declines
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