Stock market will remain closed due to Lok Sabha elections, know when the business will be closed?

Since the dates of Lok Sabha elections have been officially announced in the country, now the impact of the elections will also be visible on the Indian stock market. However, the dates of the holidays will be officially decided by the Central Election Commission and the stock market. But since elections are to be held in the country in seven phases, there will be holidays in the stock market.

Voting for Lok Sabha seats in the state of Maharashtra is to be held in five phases. According to the Election Commission, the voting dates in Maharashtra have been fixed as April 19, April 26, May 7, May 13 and May 20. In the fifth phase, voting will be held in Dhule, Dindori, Nashik, Bhiwandi, Kalyan, Thane, Mumbai North, Mumbai North West, Mumbai North East, Mumbai South, Mumbai South Central, Mumbai North Central and Palghar in Maharashtra.

The market is already closed before this

Both the major stock exchanges of the country, BSE and NSE are located in Mumbai. Since voting is to be held in Mumbai on May 20, trading in the local stock market may remain closed due to the Lok Sabha elections on May 20. In fact, local governments declare voting day as a public holiday. Due to this, trading in the market was closed even before the voting day of Lok Sabha elections. This has happened in the years 2014 and 2019. However, the stock markets have not yet declared a holiday on May 20.

There are still two holidays left this month

The domestic stock market is going to remain closed for several days even before the holiday on May 20, the voting day. There will be two holidays so far in the month of March. First, there is a holiday on 25th March on the occasion of Holi. After this, there will be Good Friday holiday in the domestic stock market on 29th March. Markets will remain closed for two days in April also. There will be Ramzan Eid holiday on 11th April and Ram Navami holiday on 17th April. There will be no trading in the stock market even on the occasion of Maharashtra Day in the month of May.

Impact on stock market functioning

Stock market trading is being affected due to elections. On an average, it is seen that if the trend in the elections is for the current government to form the government again, then the market rally reaches new heights. However, this also creates a gap in the market if contrary signals are received. After the last phase of voting on June 1, the election results will come on June 4.