Commodity Market Timing and Trading Holidays

This article will talk about commodity market timing. Do you want to invest in the commodity market? Then apprise yourself of the MCX trading time.

In investment parlance, commodities are an asset class, separate from equities and bonds. Commodities are traded in respective exchanges. Investors need to understand that the commodity market is different from the equity market and has longer trading hours. Before starting commodity trading, it is best to understand the commodity market timing to plan better trades.

Commodity trading hour:

When learning commodity trading timing, we should look at commodity trading time and the list of trading and clearance holidays.

The commodity derivative market stays open from Monday to Friday weekly. Saturdays and Sundays are weekly holidays. Because of the time difference between different time zones and to match with the opening of the international commodity market, the trading window remains open longer.     

The MCX trading hours are

Opening time: 9:00 am

Closing time: 11.00 pm 

Segregation of MCX trading time based on commodity categories:

Commodity type Trade start time Trade end time (after beginning of daylight saving in the US in spring) Trade end time (after the end of daylight saving in the US in spring)
Internationally referenced non-agriculture commodities  9:00 am 11:30 pm 11:55 pm
Trade modification 11:45 pm 11:59 pm
Position limit/collateral value set-up/ cut-off end time 11:45 pm 11:59 pm

Trading remains suspended on Saturdays and Sundays as weekly holidays. Besides, MCX also publishes a list of stipulated holidays when no trading will happen on the MCX exchange. Below is a complete list of trading holidays and the days they fall. 

Holiday Date  Day Morning session  Evening session
Republic Day January 26, 2022 Wednesday  Closed  Closed 
Mahashivratri March 1, 2022 Tuesday Closed  Open 
Holi March 18, 2022 Friday Closed  Open
Mahavir Jayanti/Baba Saheb Ambedkar Jayanti April 14, 2022 Thursday Closed  Open 
Good Friday April 15, 2022 Friday Closed  Closed 
Eid-ul-fitr May 3, 2022 Tuesday Closed  Open 
Muharram August9, 2022 Tuesday Closed  Closed 
Independence Day August 15, 2022 Monday Closed  Closed 
Ganesh Chathurthi August 31, 2022 Wednesday Closed  Open
Dussehra October 5, 2022 Wednesday  Closed  Open
Diwali October 24, 2022 Monday 
Diwali Balipratipada  October 26, 2022 Wednesday  Closed  Open
Gurunanak Jayanti November 8, 2022 Tuesday  Closed  Open 

MCX exchange organises a particular Muhurat trading on the day of Diwali. The Muhurat trading window remains open for one hour, and then trading closes for the day. The exchange will announce Muhurat trading timing subsequently. 

MCX market timing is divided into morning and evening sessions. 

Morning session: 10:00 am to 5:00 pm 

Evening session: 05:00 am to 11:30/11:55 pm 

Internationally linked agricultural items are traded between 5:00 pm to 9:00/9:30 pm. 

Besides the holidays mentioned above, some holidays fall on Saturdays and Sundays. Since these two days are weekly holidays, we didn’t mention them in the holiday list above.   

Several holidays are not trading holidays but are clearance holidays. These days, banks remain closed. The orders placed on these days get cleared on the next working day. Following is a list of clearing holidays in MCX in 2022.

Holidays Date Day
Annual Bank Holiday April 1, 2022 Friday
Buddha Purnima May 16, 2022 Monday
Parsi New Year August 16, 2022 Tuesday

Commodity market timing:

Traders can buy and sell stocks during morning and evening sessions.

Morning session:

The morning session starts at 9:00 am and lasts till 5:00 pm. Traders can place orders on securities, including bullions, base metals, and energy commodities. 

Evening session:

The evening session is between 5:00 pm and 11:30/11:55 pm. Traders can transact in bullions, base metals, and energy commodities. International traders placing orders on agricultural goods can trade till 9:00/9:30 pm. 

The trade timing of the evening sessions is revised twice a year to match the beginning and end of daylight saving in the US. It means that in summer, the evening session closes at 11:30 pm, and in winter, the closing time gets extended to 11:55 pm.  

Can MCX change or alter the holidays?

MCX is given the authority to change, alter, or introduce new holidays. They will declare those by issuing separate circulars. 

MCX stands for Multi-commodity Exchange and gives traders a comprehensive trading platform when they first register where they can control online trading, risk control, settlement and clearing of commodity derivative trades. The MCX commodity trading time and holidays are declared in advance to help traders plan their trades carefully. MCX trading holidays comprise national and regional holidays, and the morning session remains closed during all these holidays. Please check the list above to know whether the evening session will remain closed. 

If you are ready to invest in the commodity market, open a Demat account online with Angel One.