According to the official list of stock market holidays provided by the BSE and NSE, no trading holiday is scheduled for Monday, September 16, Eid-e-Milad meaning the Indian stock market will remain open. However, it is a settlement holiday.

A settlement holiday in India refers to a day when stock trade settlements are delayed due to a bank holiday, even though the stock market remains open. Under the T+1 settlement system, stock trades typically settle one day after the trade date. For instance, if you buy a stock on Monday, it should settle by Tuesday, and similarly for selling a stock.

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However, on Settlement Holidays, depositories (where shares are held in Demat accounts) are closed, causing a delay in the transfer or settlement of shares. This means that a stock bought on a Settlement Holiday, such as September 16 (which is a bank holiday), will not be deposited into the buyer’s Demat account until the next working day, effectively adding one day to the usual settlement process.

There are only four holidays left in this calendar year:

• Mahatma Gandhi's Birthday (October 2)
• Diwali (November 1)
• Gurunanak Jayanti (November 15)
• Christmas (December 25).

Markets on Friday: The Nifty 50 index declined by 32 points, closing at 25,356, and the BSE Sensex dropped 71 points to finish at 82,890. However, the Bank Nifty index gained 165 points, closing at 51,938. In broader market performance, the Small-cap index outperformed the major indices with a 0.95% gain, while the Mid-cap index rose by 0.48%. Wipro and financial services companies were the top gainers on Friday.

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Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.