The year 2024 has kicked off with a flurry of activity for investors. The U.S. Bureau of Labor Statistics recently announced that December saw a stronger job market than expected, along with a surprising increase in the consumer price index. As investors catch their breath, they can take advantage of the upcoming Martin Luther King Jr. Day, which offers a long weekend to relax and reflect.
Stock Market Hours for Martin Luther King Jr. Day
Since Martin Luther King Jr. Day is a federal holiday, the New York Stock Exchange, the Nasdaq Stock Exchange, and the U.S. bond market will all be closed on Monday. Additionally, over-the-counter markets will also observe the holiday and remain closed.
Closure of Certain Services
In observance of Martin Luther King Jr. Day, United States Postal Service locations and U.S. banks will be closed as well, giving employees the opportunity to join in celebrating the inspiring legacy of Dr. King.
A Global Perspective
While the U.S. markets take a break, it’s important to note that international trading hours will remain unaffected by the holiday. This means that foreign exchanges, such as the London Stock Exchange, the Shanghai Stock Exchange, and the Stock Exchange of Hong Kong, will be open for business as usual.
Looking Ahead
As investors return from their well-deserved long weekend, they can expect the stock market to resume its activity. With both positive and surprising economic indicators already shaping the year, it will be interesting to see how the markets respond in the coming weeks.
Overall, Martin Luther King Jr. Day serves as a brief pause for investors amid a bustling start to the year. It offers an opportunity to recharge and gain perspective before diving back into the excitement and challenges of the financial world.
How Has the Market Performed Historically Around this Time?
Since 1985, the Dow, the S&P 500, and the Nasdaq Composite have all experienced an average gain of 0.2% from the Friday before Martin Luther King Jr. day to the Friday after the holiday, according to Dow Jones Market Data.
What Is Martin Luther King Jr. Day?
Monday’s holiday is a celebration of the life of civil rights leader Rev. Dr. Martin Luther King Jr. and his significant role in ending legalized segregation in the U.S. One of his notable accomplishments includes leading the historic march on Washington, D.C. in August 1963, where he delivered his iconic “I Have a Dream” speech.
Martin Luther King Jr. Day is celebrated on the third Monday of every January, which is always close to his birthday on Jan. 15.
What to Look Forward to
Investors can anticipate several events and developments in the upcoming days. On Tuesday, the Federal Reserve will release its Beige Book, providing a comprehensive overview of the current economic conditions across the 12 Federal Reserve Districts. The insights from the book will be crucial in determining whether central bank officials plan to cut interest rates in the coming months.
Moreover, corporate earnings season is approaching. Netflix is scheduled to report its fourth-quarter financials on Jan. 23, while Tesla and Abbott Laboratories will both release their fourth-quarter results on Jan. 24.
