In an unprecedented move, the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) will conduct a live trading session on Saturday, March 2, to assess the resilience of their disaster recovery systems.
The session, mandated by SEBI, comprises two phases – a 45-minute session from 9.15 am to 10.00 am and another from 11.30 am to 12.30 pm. The stock exchanges will operate from both primary and disaster recovery sites, ensuring preparedness for unforeseen emergencies.
Market infrastructure intermediaries are required to conduct such switchover tests as part of a business continuity plan. Members have been notified that the session involves switching from the primary to the disaster recovery location intra-day in both equity and equity derivatives segments.
To manage market volatility during this unique trading session, futures contracts will be allowed a 5% operating range. In the Futures and Options segment, securities will have a 5% limit for both upper and lower circuits, while those with a 2% limit will maintain their existing boundaries.
This move is a departure from the norm, as stock markets typically remain closed on Saturdays. The initiative aims to ensure the robustness of the stock market infrastructure and its ability to function seamlessly under adverse conditions.
Also Read: India’s GDP Outlook: Anticipated Surge to 8% Growth
