RBI gets stock markets to open at 9 am now on. Just like pre-Covid times
Since companies have resumed working from offices and restrictions on travel have substantially come down, RBI decides to bring back its old stock market opening timing.
Historically, stock markets in India have had set trading hours: the markets opened at 9 am and closed at 3.30 pm.
When the pandemic struck, like all other operations, stock market operations were disturbed and health risks were elevated. Thus, trading hours were changed from April 7, 2020. The markets began at 10 am instead of 9 am. The closing timings remained unchanged.
Now that the Covid cases have gone down, travel and mask restrictions have been eased and companies are getting back to normal, RBI has decided to go back to its original trading hours.
Starting April 18, RBI-regulated stock markets, like the National Stock Exchange and the Bombay Stock Exchange, will start trading from 9 am to 3.30 pm, like pre-pandemic times. This was announced by RBI Governor Shaktikanta Das in his bi-monthly monetary policy announcement, and the announcement is also available on the RBI website.
So, what kind of securities will be available for trading on the stock markets as per the new timings?
- Government Securities (Central Government Securities, State Development Loans and Treasury Bills)
- Commercial paper and Certificates of Deposit
- Call money and Term money
- Tri-party repo in Government Securities
- Repo in Corporate Bonds
- Foreign Currency (FCY)/Indian Rupee (INR) Trades including Forex Derivatives
- Market repo in Government Securities (but this security is an exception and will trade between 9 am to 2.30 pm).