What are US Stock Market Holidays?
The United States stock market observes a set of holidays each year in addition to the regular weekends when trading activities are suspended. In 2024, the US stock market will have 10 designated holidays. This blog aims to explore these holidays in detail, providing a comprehensive list and information about early closures.
List of US Stock Market Holidays 2024
To gain a clearer perspective on the changes and consistencies in the US stock market holidays, let’s examine and compare the specific holiday dates for 2023 and 2024. This comparison will aid investors in understanding year-over-year adjustments and planning accordingly:
Holiday | 2023 | 2024 |
New Year’s Day | January 2 | January 1, 2024 |
Martin Luther King Jr. Day | January 16 | January 15 |
Washington’s Birthday | February 20 | February 19 |
Good Friday | April 7 | March 29 |
Memorial Day | May 29 | May 27 |
Juneteenth | June 19 | June 19 |
Independence Day | July 4 | July 4 |
Labor Day | September 4 | September 2 |
Thanksgiving Day | November 23 | November 28 |
Christmas Day | December 25 | December 25 |
Note: New Year’s Day 2023 fell on a Sunday, so the observed holiday for the stock market was on January 2, 2023.
Early closures of the US Stock Market in 2024
Besides regular holidays, the US stock market observes early closures on certain days. These days, the stock market closes earlier than its regular trading hours. Here are the early closures for 2024:
Date | Occasion | Closing Time |
July 3 | The day before Independence Day | 1:00 PM ET |
November 29 | The day after Thanksgiving | 1:00 PM ET |
December 24 | Christmas Eve | 1:00 PM ET |
US Stock Market timing and daylight saving considerations
Understanding the timing of the US stock market timing is crucial for both domestic and international investors. The two major stock exchanges in the US, the New York Stock Exchange (NYSE) and NASDAQ, operate on specific hours, but these can be influenced by daylight saving time adjustments.
Regular trading hours
The regular trading hours for both the NYSE and NASDAQ are from 9:30 AM to 4:00 PM Eastern Time (ET). This timing remains consistent throughout the year, irrespective of the season.
Daylight saving time adjustments
What is DST? Daylight Saving Time (DST) is when clocks are moved forward by one hour during the warmer months to extend evening daylight. This change impacts the relative timing between the US and India.
When is DST Observed? In the US, DST starts on the second Sunday in March and ends on the first Sunday in November.
Impact on Trading Hours: During DST, the US stock market opens and closes an hour earlier in IST. For Indian investors, this means planning trades according to the adjusted schedule.
Pre-market and after-hours trading
In addition to the regular trading hours, the US stock market also offers pre-market and after-hours trading sessions. Pre-market trading typically takes place from 4:00 AM to 9:30 AM ET, and after-hours trading from 4:00 PM to 8:00 PM ET. However, these sessions may have lower liquidity and higher volatility.
Here’s a simplified breakdown of the leading US stock exchange trading times in Indian Standard Time (IST):
Exchange | Pre-market hours | Regular hours | After market hours |
Nasdaq | 1:30 PM – 7:00 PM | 7:00 PM – 1:30 AM | 1:30 AM – 5:30 AM |
Dow Jones | 1:30 PM – 7:00 PM | 7:00 PM – 1:30 AM | 1:30 AM – 5:30 AM |
NYSE | 1:30 PM – 7:00 PM | 7:00 PM – 1:30 AM | 1:30 AM – 5:30 AM |
Extended Hours Trading
In the US stock market, investors can execute trades not only during the regular market hours but also outside these core hours. Extended Hours trading offers this flexibility, encompassing pre-market and after-hours sessions.
Extended trading hours consist of pre-market and after-hours sessions, allowing for stock trades beyond the regular trading window of 9:30 AM to 4:00 PM ET. These sessions include:
- Pre-market trading: Occurring from 4:00 AM to 9:30 AM ET.
- After-hours trading: Running from 4:00 PM to 8:00 PM ET.
These extended hours are particularly beneficial for responding to global market movements, earnings reports, and other significant events that happen outside regular trading hours.
Extended Trading Hours by Vested
Vested recognizes the importance of these extended hours and allows its users to trade during these periods. With Vested, investors have the opportunity to engage in:
- Extended Hours Trading: This feature on Vested allows for trading during both pre-market and after-hours sessions, providing more flexibility in trading strategies.
Advantages for Investors
- Global Market Access: For investors who are in different time zones or have schedules that don’t align with regular US market hours, Extended Hours Trading is a valuable option.
- React to News: Extended hours enable traders to react swiftly to news and events occurring outside of the standard trading hours.
While extended hours trading can be advantageous, it’s also accompanied by some risks like reduced liquidity and potential price volatility. Investors should weigh these factors when considering trades during these times.
In summary, understanding the US stock market’s holidays, trading hours, and the possibilities offered by extended trading hours is key for effective market participation. With platforms like Vested, investors can navigate these aspects with greater ease and flexibility.
Happy trading!