On Thursday, Nov. 24, the New York Stock Exchange, Nasdaq and U.S. bond markets were closed in observance of Thanksgiving.
For Black Friday on Nov. 25, Wall Street and the bond markets will be open; however, the trading day will end early, with the stock market closing at 1 p.m. EST, and the bond market closing at 2 p.m. EST.
Why does the stock market close early on Black Friday? Is it really to give investors a chance to scoop up those Black Friday deals?
Well, not really.
On Nov. 27, 1992, traders saw the first short trading day after Thanksgiving, with a 2 p.m. EST closing time.
The markets offered traders an extra hour off by closing at 1 p.m. on Nov. 26, 1993, the following year, and the custom of closing at 1 p.m. on the day following Thanksgiving is still in place today.
The decision to close the exchange early on the day following Thanksgiving was made by exchange officials due to the low trading activity, with many traders taking the day off, and a largely empty economic calendar.
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Other market holidays during which the markets were closed this year:
- Monday, Feb. 21 – Presidents’ Day, George Washington’s Birthday
- Friday, April 15 – Good Friday
- Monday, May 30 – Memorial Day
- Monday, June 20 – Juneteenth National Independence Day
- Monday, July 4 – Independence Day
- Monday, Sept. 5 – Labor Day
The stock market will also be closed on Monday, Dec. 26 in observance of Christmas Day, which falls on a Sunday in 2022.
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Photo via Shutterstock.
Image and article originally from www.benzinga.com. Read the original article here.