Delhi is the marketplace for all of India, and bargaining is the rule everywhere except fixed-price shops. Most shops are open six days a week; the day a shop is closed is determined by its location. Ask around -- every taxi driver knows which markets are closed on a given day.
India has one of the world's foremost Oriental-rug industries, and there are carpet vendors all over Delhi. Unfortunately, carpet sellers are notoriously dishonest. In addition to being obnoxiously pushy, they are likely to sell you inauthentic merchandise at colossally inflated prices and then deny it later.
The many state emporiums (Baba Kharak Singh Marg, Connaught Place) strung out over three blocks, can keep you busy for hours: the Kashmir store specializes in carpets, Karnataka in sandalwood, Tripura in bamboo, and so on.
