June 19, or Juneteenth, marks the end of slavery in the U.S. The U.S. designated the day a federal holiday in 2021.
Photo by PATRICK T. FALLON/AFP via Getty Images
The Juneteenth holiday weekend may come as a bit of respite for investors.
Last week, they had to navigate increasingly turbulent markets: The S&P 500
officially entered a bear market on Monday, the Federal Reserve announced a 0.75 percent interest rate hike on Wednesday, and the Dow Jones Industrial Average
finished below 30,000 points on Thursday. For the week, the Dow and the Nasdaq Composite each slipped 4.8%, while the S&P 500 fell 5.8%.
If you’re looking to trade on Monday, June 20, here’s what you can expect.
Is the Stock Market Closed on Juneteenth?
U.S. stock markets will observe Juneteenth for the first time ever. While the holiday technically fell on Sunday, June 19, the New York Stock Exchange and the Nasdaq will be closed in observance on Monday. The markets will resume normal hours on Tuesday, June 21, with the regular session starting at 9:30 a.m. Eastern.
The U.S. bond market will also be closed on Monday, according to the Securities Industry and Financial Markets Association, or SIMFA. Over-the-counter markets will observe the holiday as well, closing on Monday and reopening Tuesday, according to Global OTC. The OTC core trading session will begin at 9:30 a.m. Eastern.
Will International Stock Exchanges Be Open?
Because Juneteenth is only recognized as a federal holiday in the U.S., most international markets will remain open on Monday, including the Hong Kong Stock Exchange, the London Stock Exchange, the Euronext Paris Exchange, the Frankfurt Stock Exchange, the Tokyo Stock Exchange, and the Shanghai Stock Exchange.
The Toronto Stock Exchange will also be open, but trades in U.S. denominated securities and U.S. dollars will take an additional day to clear.
What Is the History of Juneteenth? Is It a Federal Holiday?
Juneteenth National Independence Day, or Juneteenth, honors the end of slavery in the U.S. It commemorates June 19, 1865, when federal troops arrived in Galveston, Texas, with news that the Civil War was over and the roughly 250,000 people who were still enslaved in the state were free. The troops’ arrival came more than two years after President Abraham Lincoln issued the Emancipation Proclamation in January 1863.
The first celebration of Juneteenth was in 1866, when freed slaves in Texas organized the first annual “Jubilee Day.” In 1979, Texas became the first state to make Juneteenth an official state holiday, with several other states following suit.
Why Haven’t the Markets Closed for Juneteenth Before?
Juneteenth was federally recognized for the first time under President Joe Biden, who signed the holiday into law on June 17, 2021. However, stock exchanges remained open for the occasion last year, since the legislation was signed too late for them to amend their holiday schedules.
What Other Days Is the Stock Market Closed?
The New York Stock Exchange and the Nasdaq are normally open Monday through Friday, but are closed in observance of 10 federal holidays: New Year’s Day, Martin Luther King Jr. Day, Presidents’ Day, Good Friday, Memorial Day, Juneteenth Independence Day, Independence Day, Labor Day, Thanksgiving Day, and Christmas Day.
OTC markets follow the same holiday schedule.
The bond market observes these holidays, plus Columbus Day, or Indigenous People’s Day, and Veterans Day.
Write to Sabrina Escobar at sabrina.escobar@barrons.com
Source: finance.yahoo.com