When a big festival like Dussehra rolls around, one of the most common questions among traders and investors is simple: Will the stock market be open?
If you’re someone who plans your trades, your investments, or even your long weekend around the calendar, knowing the market holiday schedule is non-negotiable. The good news is, this doesn’t have to be confusing. By the end of this article, you’ll have a clear understanding of how the Indian stock exchanges handle holidays, what happens specifically on Dussehra 2025, and how you should prepare as an active or long-term participant in the market.
The Short Answer: Closed in 2025
Let’s not drag out the suspense. On Thursday, October 2, 2025, which is when Dussehra coincides with Mahatma Gandhi Jayanti, both the NSE (National Stock Exchange) and BSE (Bombay Stock Exchange) will remain closed for trading.
This means:
- No equity trading
- No derivatives trading
- No commodity market activity on the main exchanges
- Settlement processes are paused for the day
Essentially, if you open your trading app on October 2, 2025, you won’t be able to buy or sell shares on the exchange.
Why Dussehra Is a Market Holiday in 2025
To understand why the market closes on some festivals and not on others, you have to look at how holiday calendars are decided.
- Exchanges publish annual calendars – Every year, both NSE and BSE release a list of holidays in advance. These are publicly available on their websites. They clearly indicate which days trading will not be available across equity, debt, derivatives, and commodity markets.
- Overlap of holidays matters – Dussehra by itself isn’t always a market holiday. But in 2025, it overlaps with October 2, which is Gandhi Jayanti, a major national holiday. Because of that overlap, the day becomes a confirmed closure across the exchanges.
- Settlement alignment – Along with trading holidays, clearing and settlement also stop. This means even if you made trades on October 1, their settlement could be delayed to October 3.
Past Years: Has the Market Always Closed on Dussehra?
This is where it gets interesting.
- In 2023, the market was closed for Dussehra (October 24).
- In 2024, Dussehra fell on October 12, and the market holiday calendar marked it as a non-trading day.
- In some earlier years, Dussehra wasn’t listed as a separate holiday. It only became one when exchanges decided to include it, or when it aligned with another national holiday.
So the pattern is not absolute. That’s why you should never assume based purely on memory — always confirm with the official holiday list.
Why Holiday Schedules Matter More Than You Think
It might sound trivial at first: “So what if the market’s closed for a day?” But holidays can influence market activity in more ways than one:
- Liquidity gets affected before and after holidays – Traders often square off positions ahead of long weekends. This can cause unusual price moves the day before a holiday.
- Settlement delays – If you bought shares on October 1, the T+1 settlement cycle will be pushed because of the holiday, so you might only see the shares or funds in your account on October 3.
- Global spillovers – Even if India is on holiday, global markets continue trading. If something significant happens internationally, our markets react only the next day — sometimes with sharp gaps up or down.
What You Should Do As an Investor
1. Long-Term Investors
If you’re holding for years, a one-day holiday barely matters. But it’s good practice to know when settlement will be delayed, especially if you’re planning redemptions or moving money around.
2. Active Traders
For short-term traders, knowing holidays is essential. You don’t want to be stuck in an open position and discover settlement is delayed, or worse, that you can’t square off when you thought you could.
3. Derivatives Participants
If you’re trading futures and options, holiday adjustments can shift expiry dynamics. For instance, if an expiry falls right after a holiday, the market could see heavier volumes squeezed into fewer sessions.
4. Commodity and Currency Traders
Remember that commodity and currency trading follow slightly different rules, but in 2025, Dussehra being on Gandhi Jayanti ensures closure across the board.
Dussehra 2025 in Context
Let’s zoom out. The full list of NSE holidays for 2025 includes around 14 trading holidays, covering events like Holi, Good Friday, Independence Day, and Diwali Balipratipada.
Out of these, a few — like Diwali Muhurat Trading — are exceptions. The market technically closes, but opens for a one-hour special session in the evening. Dussehra, however, has no such tradition. It’s simply a full-day closure.
So in 2025:
- October 2: Market shut (Dussehra + Gandhi Jayanti)
- October 3: Trading resumes as usual
- No Muhurat session for Dussehra
Common Misconceptions Around Festival Holidays
- “All major festivals are market holidays.”
Not true. For example, Pongal or Onam may be state holidays, but they don’t always appear on the national exchange holiday list. - “Banks closed means markets closed.”
Also false. Bank holidays are determined by RBI and state notifications. Markets sometimes stay open even when banks are closed, and vice versa. - “Holiday means no price change.”
Markets may be closed locally, but global events can cause massive movements. When Indian exchanges reopen, prices can gap significantly.
Practical Tips for Holiday Weeks
- Check liquidity – If volumes are unusually thin before a holiday, spreads widen and execution becomes tricky.
- Plan settlements – Don’t schedule critical fund requirements around holidays. Give yourself a cushion.
- Stay updated globally – During a holiday, watch U.S. and Asian markets. They often set the tone for India’s opening after the break.
- Use the time to reset – A holiday is a good chance to step back, review strategies, and avoid overtrading.
Holiday Closures in Other Countries
For global investors, it’s worth noting that not every market takes a holiday for festivals.
- The U.S. stock market only shuts on federal holidays like Thanksgiving, Christmas, and Independence Day — not for religious or regional festivals.
- The UK markets follow bank holidays, which are government-notified.
- In contrast, India’s market holiday list is relatively longer, because it integrates both national and cultural festivals.
This is why Indian markets sometimes have fewer trading days compared to the U.S. or Europe.
The Bottom Line
On Dussehra 2025 (October 2), the Indian share market will not be open. Both NSE and BSE will remain shut, as the holiday coincides with Gandhi Jayanti.
But the more important lesson is this: don’t guess — always check the official holiday calendar. Markets don’t shut for every festival, and the overlap of dates can make things less predictable than you might assume.
If you’re a long-term investor, this is just a minor scheduling note. But if you’re an active trader, a derivatives participant, or someone who needs funds settled on exact dates, knowing this information can save you a lot of last-minute stress.
So mark your calendar, plan your trades accordingly, and maybe even enjoy the break — because the market will be waiting for you on October 3.