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NYSE & NASDAQ Holiday Schedule 2025: Market Closures and Early Closes

Knowing when U.S. stock markets are closed or closing early isn't just about planning your trading schedule鈥攊t's about understanding how holidays affect liquidity, volatility, settlement dates, and global market coordination. With markets closed nine days annually and early closes on three additional days, these disruptions create both challenges and opportunities for prepared traders.

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NYSE & NASDAQ Holiday Schedule 2025: Market Closures and Early Closes

2025 Complete Holiday Calendar

The NYSE and NASDAQ follow identical holiday schedules, closing for nine federal holidays and observing early closes before three major holidays. Here's your complete 2025 trading calendar:

Holiday Date 2025 Day Market Status Settlement Notes
New Year's Day January 1 Wednesday Closed T+1 extends to Thursday
Martin Luther King Jr. Day January 20 Monday Closed Friday trades settle Tuesday
Presidents' Day February 17 Monday Closed Friday trades settle Tuesday
Good Friday April 18 Friday Closed Thursday trades settle Monday
Memorial Day May 26 Monday Closed Friday trades settle Tuesday
Juneteenth June 19 Thursday Closed Wednesday trades settle Friday
Day Before Independence Day July 3 Thursday Early Close 1:00 PM ET Normal T+1
Independence Day July 4 Friday Closed Thursday trades settle Monday
Labor Day September 1 Monday Closed Friday trades settle Tuesday
Day After Thanksgiving November 28 Friday Early Close 1:00 PM ET Normal T+1 (Monday)
Thanksgiving Day November 27 Thursday Closed Wednesday trades settle Friday
Christmas Eve December 24 Wednesday Early Close 1:00 PM ET Normal T+1
Christmas Day December 25 Thursday Closed Wednesday trades settle Friday

Important: When a holiday falls on a weekend, the market closure shifts to the nearest weekday. If July 4th falls on Saturday, markets close Friday July 3rd. If it falls on Sunday, markets close Monday July 5th. This rule applies to all holidays except Good Friday, which always falls on Friday.

Early Close Days Explained

Early close days end regular trading at 1:00 PM ET instead of 4:00 PM ET鈥攁 tradition dating back to when floor traders needed time to travel for holiday weekends. What many traders don't realize is how these abbreviated sessions affect market dynamics.

Early Close Session Structure

Session Normal Day Early Close Day Key Differences
Pre-Market 4:00 AM - 9:30 AM 4:00 AM - 9:30 AM No change
Regular Trading 9:30 AM - 4:00 PM 9:30 AM - 1:00 PM 3.5 hours vs 6.5 hours
After-Hours 4:00 PM - 8:00 PM 1:00 PM - 5:00 PM* Often reduced or unavailable
Options Trading 9:30 AM - 4:00 PM 9:30 AM - 1:00 PM Ends with equity close
Bond Market 8:00 AM - 5:00 PM 8:00 AM - 2:00 PM Recommended close

*After-hours availability varies by broker on early close days. Many disable extended trading entirely.

Note: The compressed trading window on early close days typically sees 40-50% of normal daily volume crammed into 54% of the time. This creates unique liquidity patterns, with the final 30 minutes (12:30-1:00 PM) often matching the intensity of a normal closing hour.

Holiday Trading Patterns

Markets exhibit predictable patterns around holidays that experienced traders exploit. Understanding these patterns helps you navigate the changed dynamics.

Pre-Holiday Trading Characteristics

The day before a holiday closure typically shows:

  • Reduced Volume: 30-50% below average as institutional traders leave early
  • Lower Volatility: Except during quadruple witching or earnings season
  • Afternoon Drift: Directional movement often stalls after lunch
  • Window Dressing: Quarter-end holidays see position adjustments
  • Short Covering: Traders reduce exposure before long weekends

Post-Holiday Patterns

What I've noticed in my years watching the markets is that post-holiday sessions follow distinct patterns based on the length of the break:

The Tuesday Effect:

When markets reopen Tuesday after a Monday holiday, we often see: - Higher opening volatility as traders react to weekend news - Volume surge in the first hour exceeding typical Tuesday levels by 20-30% - Reversal of Friday's late-day movements by 11:00 AM - This pattern is especially pronounced after Memorial Day and Labor Day

Settlement and Options Impact

Holidays complicate the settlement cycle, affecting when trades clear and funds become available. With T+1 settlement now standard (as of May 28, 2024), understanding these impacts is crucial.

Settlement Date Adjustments

Holiday Settlement Calculation

    Standard Rule: Trade Date + 1 Business Day = Settlement
    
    Holiday Adjustment:
    IF Settlement Date = Holiday
    THEN Settlement Date = Next Business Day
    
    Examples:
    鈥� Trade Thursday before Good Friday 鈫� Settles Monday
    鈥� Trade Wednesday before Thanksgiving 鈫� Settles Friday
    鈥� Trade Friday before Monday holiday 鈫� Settles Tuesday
  

Options Expiration Considerations

Monthly options expiring during holiday weeks face unique challenges:

  • Expiration Unchanged: Options still expire on Friday even if markets close
  • Exercise Deadline: Usually 5:30 PM ET on expiration day
  • Assignment Risk: Increases with extended settlement periods
  • Liquidity Issues: Wider spreads on Thursday before Good Friday
  • Early Exercise: More common before long weekends for dividend capture

Warning: Options expiring when Friday markets are closed (like Good Friday) can still be exercised. The OCC processes exercises even when markets don't trade. Monitor positions carefully and close or roll before Thursday's close if you want to avoid assignment risk.

International Market Coordination

U.S. holidays create ripple effects globally, especially when they don't align with international calendars.

Global Holiday Mismatches

U.S. Holiday Europe Status Asia Status Trading Impact
Thanksgiving Open (Normal) Open (Normal) Reduced USD liquidity
Independence Day Open (Normal) Open (Normal) Forex volatility
MLK Day Open (Normal) Open (Normal) ADR price gaps
Good Friday Closed (Most) Closed (Hong Kong) Global low liquidity
Christmas Closed Closed (Most) Minimal global activity

For understanding how time zones affect coordination during holidays, especially with daylight saving transitions, see our guide to DST effects on trading.

Extended Hours on Holiday Weeks

Extended hours trading during holiday weeks operates differently than normal weeks. Understanding these changes prevents costly surprises.

Pre-Market and After-Hours Modifications

Most brokers modify or eliminate extended hours around holidays:

  • Before Holiday: After-hours often ends early (6:00 PM instead of 8:00 PM)
  • Holiday Day: No pre-market or after-hours trading
  • After Holiday: Pre-market may start later (7:00 AM instead of 4:00 AM)
  • Early Close Days: Limited or no after-hours following 1:00 PM close

Learn more about extended hours trading in our comprehensive pre-market and after-hours guide.

Holiday Volatility Analysis

Volatility patterns around holidays are surprisingly predictable, offering opportunities for prepared traders.

Historical Volatility by Holiday

Holiday Period Typical VIX Level vs. Annual Average Pattern
Week Before Christmas 14-16 -20% Lowest of year
Thanksgiving Week 15-17 -15% Compression
July 4th Week 16-18 -10% Summer doldrums
Memorial Day Week 18-20 Average Transitional
Labor Day Week 19-22 +10% September anxiety
MLK Day Week 20-23 +15% Earnings season

Still with me? Great, because this next part is crucial: the "holiday effect" on volatility is so consistent that options traders adjust strategies weeks in advance. December volatility compression is priced into options by November, creating opportunities in volatility trades rather than directional bets.

Holiday Trading Strategies

Successful holiday trading requires adapted strategies that account for changed market dynamics.

1. Pre-Holiday Positioning

Pro Tip: The "Wednesday before Thanksgiving" trade has shown remarkable consistency. Markets often rally into the Wednesday close as funds position for the holiday retail sales period. Since 2000, this day has closed positive 73% of the time, with an average gain of 0.4%.

2. Holiday Reversion Strategy

Extended weekends create overreaction opportunities:

  1. Identify stocks with >2% moves on light volume before holidays
  2. Enter contrarian positions in the final hour
  3. Hold through the holiday
  4. Exit Tuesday morning as volume returns
  5. Works best with liquid large-caps showing technical extremes

3. Volatility Compression Trades

The predictable volatility decline into certain holidays creates options opportunities:

  • Thanksgiving Week: Short volatility strategies as VIX typically drops
  • Christmas Week: Iron condors benefit from range-bound movement
  • Summer Holidays: Calendar spreads exploit time decay acceleration

Historical Holiday Performance

Markets show measurable tendencies around specific holidays, though past performance never guarantees future results.

S&P 500 Holiday Period Returns (2010-2024 Average)

Period Average Return Positive % Best Sector Worst Sector
Day Before Holiday +0.23% 62% Consumer Disc. Utilities
Day After Holiday +0.09% 54% Technology Energy
Santa Claus Rally* +1.33% 79% Technology Utilities
Thanksgiving Week +0.68% 71% Consumer Disc. Materials
First Trading Day of Year +0.12% 58% Financials Healthcare

*Santa Claus Rally: Last 5 trading days of the year plus first 2 of the new year

Holiday Impact Calculator

Settlement Date Calculator

Frequently Asked Questions

Are stock markets open on Columbus Day and Veterans Day?

Yes, U.S. stock markets remain open on Columbus Day, Veterans Day, and Election Day. These are federal holidays but not market holidays. Bond markets typically close on Columbus Day and Veterans Day, creating potential liquidity differences in fixed-income related securities.

Do futures markets close for the same holidays as stocks?

No, futures markets have different holiday schedules. CME futures often remain open on some stock market holidays with modified hours. For example, S&P 500 futures trade on Columbus Day when stock markets are open but bond markets are closed. Futures typically halt for Good Friday and Christmas.

How do early closes affect my stop-loss orders?

Stop-loss orders remain active until the market closes, whether that's 1:00 PM on early close days or 4:00 PM on normal days. Orders not triggered by market close are cancelled. GTC (Good Till Cancelled) orders resume the next trading day. Be aware that lower liquidity near early closes can trigger stops more easily.

Can I trade international stocks when U.S. markets are closed?

You cannot trade U.S.-listed ADRs when U.S. markets are closed, but you may be able to trade foreign stocks on their home exchanges through brokers offering international access. European and Asian markets often remain open during U.S. holidays, except for globally observed holidays like Christmas and New Year's Day.

Do dividends get paid on market holidays?

Dividends scheduled for payment on a market holiday are typically paid on the next business day. The ex-dividend date, record date, and payment date all adjust around holidays. If you own stock before the ex-dividend date (accounting for settlement), you'll receive the dividend regardless of holiday scheduling.

How do holidays affect options expiration?

Options still expire on their designated expiration date even if markets are closed. Friday expirations when markets close (like Good Friday) can be exercised through your broker until the cutoff time (usually 5:30 PM ET). Monthly options expiring during holiday weeks often see increased early exercise activity.

For complete information about regular trading hours and how they interact with holiday schedules, visit our comprehensive U.S. market hours guide.

Pro Tip: Create a personal holiday trading calendar at the start of each year. Mark not just the closure dates, but the days before and after holidays. These transition days often offer the best opportunities鈥攍ower competition from institutional traders but sufficient liquidity for clean execution. The sweet spot? Two days before long weekends when funds begin rotating but retail interest remains.

Disclaimer: This article is for educational purposes only and should not be considered investment advice. Holiday trading patterns are based on historical observations and don't guarantee future results. Market conditions can change rapidly around holidays. Always conduct your own research and consider consulting with qualified financial advisors before making trading decisions.