Trading was suspended on all major bourses and security tightened at the airport and railway stations after one of the fiercest terror attacks in Mumbai, India's commercial capital, since late Wednesday.
"Considering the prevailing abnormal situation and the government's advice to people to stay at home, it has been decided to keep the market closed for the day," said a notice issued by the Bombay Stock Exchange.
"The expiry in futures and options, and settlement due on Thursday, stands postponed to the next working day," said the exchange, as a similar notice was issued by the National Stock Exchange and most of the commodities and currency exchanges.
The Reserve Bank of India (RBI), the country's central bank, which has its headquarters in Mumbai, also said there would be no transactions and settlements in government securities, foreign exchange and money markets on Thursday.
"Settlement of all outstanding transactions will accordingly get postponed to the next working day on Nov 28, 2008."
Air India spokesperson Jitendra Bhargava told IANS that both domestic and international flights were now running as scheduled from the Chhatrapati Shivaji International Airport.
Jet Airways, which also resumed normal operations, asked its entire staff to report for duty in the morning, even if their duty hours were to begin later in the day.
"Everyone has to report in the morning. Contingency plans have been put in force at the Mumbai airport," a Jet official said, adding that specialised security forces had taken over the airport.
Railway services, too, resumed normally from the the Chhatrapati Shivaji Terminus with the Mumbai-Patna Express leaving the station here at 4 am, after trains were suspended for some six hours when the news of terror attacks started pouring in.
The main station, earlier called the Victoria Terminus, is the headquarters of Central Railway and was one of the seven places targeted of terrorists.
The landmark Taj Mahal Palace and Tower Hotel opposite the Gateway of India, and the Oberoi Trident Hotel - both of which attract scores of tourists and business visitors from overseas - were also targeted by the terrorists.