The Stock Market Holidays That You Need To Remember For The Year 2022
Each year, as the holiday season approaches, two stock-market holidays are traditionally observed: Christmas Day and New Year's Day.
However, owing to New York Stock Exchange Rule 7.2, investors may be startled to learn that the holiday schedule will be slightly different in 2022.
When a holiday falls on a Sunday, the market closes the following Monday, according to the rule. Unless "exceptional business conditions exist, such as the end of a monthly or yearly accounting period," the market will close on the preceding Friday when a holiday falls on a Saturday.
The Christmas holiday will be commemorated on Friday, December 24th, as is customary. The last day of trade for that week is December 23.
New Year's Day, on the other hand, falls on a Saturday, putting the celebration in a different year if it were moved to Friday.
New Year's Day, Martin Luther King Jr. Day, Presidents' Day, Memorial Day, Good Friday, Independence Day, Labor Day, Thanksgiving Day, Christmas Eve, and Christmas Day are all stock market holidays. These holidays, as well as Columbus Day and Veterans Day, are observed by the bond market. Every holiday has its own set of closures and market hours.
The following are the topics we'll be discussing in today's piece:
· What Is a Stock Market Holiday?
· What Are Bond Market Holidays?
· What Are the Bond Market Hours?
· When Does the Stock Market Open and Close?
· Stock Market Holidays in 2022
· Conclusion
It's important to be aware of and plan for stock market holidays and hours, whether you're an investor, a professional money manager, or work in the financial media. Because the holidays and closures do not always coincide, you'll need to adapt your schedule and plan ahead of time.
What Do You Mean by a Stock Market Holiday?
Stock markets, such as the New York Stock Exchange (NYSE) and the NASDAQ, are closed for trading on some national holidays. The stock markets usually observe nine holidays each year, plus two half-holidays, but beginning in 2022, a tenth holiday, Juneteenth National Independence Day, will be observed.
The following are the dates for the yearly stock market holidays and early closings:
- New Year’s Day
- Martin Luther King Jr Day
- Presidents’ Day
- Memorial Day
- Good Friday
- Juneteenth National Independence Day (new for 2022)
- Independence Day
- Labor Day
- Thanksgiving Day
- Black Friday (Day after Thanksgiving Day, closes early at 2:00 pm EST)
- Christmas Eve (closes early at 2:00 pm EST)
- Christmas Day
What Are Bond Market Holidays and Why Do They Happen?
Bond market holidays, like stock market holidays, are days when the bond market is closed for trading due to a national holiday in the United States. With two more holidays and a few extra pre-holiday days in which it closes early, the bond market follows the same holiday schedule as the stock market.
The following are the dates for the yearly bond market holidays and early closings:
- New Year’s Day
- Martin Luther King Jr Day
- Presidents’ Day
- The day before Good Friday (Close at 2 pm)
- Good Friday
- The day before Memorial Day (Close at 2pm)
- Memorial Day
- Juneteenth Holiday (new for 2022)
- The day before Independence Day (Close at 2 pm)
- Independence Day
- Labor Day
- Columbus Day
- Veterans' Day
- The day before Thanksgiving Day (Close at 2 pm)
- Thanksgiving Day
- Black Friday (Day after Thanksgiving Day, closes early at 2:00 pm EST)
- Christmas Eve (closes early at 2:00 pm EST)
- Christmas Day
Important: The bond market will be closed on Columbus Day and Veterans Day, but the stock market will be open. On Christmas Eve and New Year's Eve, the bond market closes early, but the stock market remains open.
What Are the Bond Market Hours?
The stock and bond markets do not operate at the same time.
The following are the hours when the bond market is open for business:
- Early Trading: 4:00am EST — 8:00am EST
- Core Trading: 8:00am EST — 5:00pm EST
- Late Trading: 5:00pm EST — 8:00pm EST
When Does the Stock Market Open and Close?
The stock market typically opens at 9:30 a.m. and closes at 4:00 p.m. The stock market is open every week, Monday through Friday, with the exception of holiday closures.
In 2022, there will be no stock market holidays.
The stock market holidays are consistent year after year, while the calendar days are different. Some holidays fall on Saturdays or Sundays, which implies they are observed on Fridays or Mondays, respectively.
The following is a list of stock market holidays for the rest of 2021 and 2022:
- Friday, Dec 24, 2021: Christmas Day observed
- (Jan 1, 2022, falls on Saturday, so, no New Year’s Day market closure)
- Monday, Jan 17, '22: Martin Luther King Jr Day
- Monday, Feb 21, '22: Presidents’ Day (Washington’s Birthday)
- Friday, April 15, '22: Good Friday (bond markets close at Noon)
- Monday, May 30, '22: Memorial Day
- Monday, June 20, '22: Juneteenth holiday observed
- Monday, July 4, '22: Independence Day
- Monday, Sept 5, '22: Labor Day
- Thursday, Nov 24, '22: Thanksgiving Day
- Friday, Nov 25.'22: Black Friday (stock market closes early at 2:00 pm EST)
- Monday, Dec 26, '22: Christmas Day observed
Other Events to Keep in Mind
Aside from the monthly events listed above, there are a few others that you should note on your calendar. These events aren't timed and are dependent on your individual circumstances.
- Best Time to Get Married: Beginning of the year.
- Best Time to Sell a Car: March-August.
- Best Months to Lock in a Fixed Utilities Bill Price: Spring (March/April) and fall (September/October).
- Best Time to Rent a House: Winter (December–March).
- Best Time to Take a Vacation: Varies by off-season and shoulder season.
- Required Minimum Distributions Due: If turning 72 this year.37
- Major Spending Events (Back to School/Back to College).
- Major Spending Events (Graduation/Wedding/Milestone Birthday or Anniversary).
- Annual Event (Portfolio Rebalancing).
Conclusion
On weekdays, the two US stock markets - the NYSE and the Nasdaq - are open from 9:30 a.m. to 4 p.m., although individuals can trade at any time. Extended-hours trading allows investors to react quickly to news that could affect the price of a stock.
Trading outside of typical business hours can be dangerous because the stock market is less liquid and volatile, but it can also be profitable.
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