The stock market is closed on Martin Luther King Jr. Day

U.S. stock exchanges — the New York Stock Exchange (NYSE) and NASDAQ — do not operate on Martin Luther King Jr. Day. This federal holiday falls on the third Monday of January each year. When the market is closed, you cannot place trades, and no stocks change hands on the exchange.

The closure affects all equity markets, options exchanges, and bond markets. If you hold stocks or mutual funds, their values do not update during the holiday. Any trades you attempt to place will not execute until the market reopens the following day.

Futures markets and cryptocurrency exchanges operate on their own schedules and may remain open during this time, but traditional stock trading halts completely.

Key Takeaways

  • The NYSE and NASDAQ close on Martin Luther King Jr. Day, which occurs on the third Monday of January.
  • You cannot buy or sell stocks on this day; all trades wait until the market reopens on Tuesday.
  • Stock prices do not update during the holiday, so you will not see gains or losses reflected in your portfolio.
  • Futures markets and some alternative trading venues may remain open, but standard stock market trading is unavailable.

When the market reopens after MLK Day

The stock market reopens on Tuesday morning at 9:30 a.m. Eastern Time, the standard opening time for regular trading sessions. Any orders you placed before the market closed on Friday will still be pending, and they will execute when trading resumes — unless you canceled them over the weekend.

Trading volume is often higher on the day after a market closure because investors who held orders are now able to execute them. Prices may move more sharply than usual as this backlog of trades processes.

Other federal holidays when the stock market closes

The NYSE and NASDAQ observe ten federal holidays each year. Besides MLK Day, the market closes on New Year's Day, Presidents' Day (third Monday in February), Good Friday, Memorial Day (last Monday in May), Juneteenth (June 19), Independence Day (July 4), Labor Day (first Monday in September), Thanksgiving Day, and Christmas Day.

When a holiday falls on a weekend, the market does not observe an extra closure. For example, if Independence Day lands on a Saturday, the market operates normally on Friday and Monday.

What you can do while the market is closed

Most brokerages allow you to place orders during market closures, but those orders sit in a queue and do not execute until the market opens. You can set limit orders (buy or sell at a specific price) or market orders (buy or sell at whatever price opens the next day). The order will fill once trading resumes, assuming the price conditions are met.

You can also review your portfolio, research stocks, read financial news, and plan your next moves. Some brokerages offer extended-hours trading (before 9:30 a.m. or after 4 p.m.), but volume is much lower and spreads between bid and ask prices are wider, making execution less predictable.

How to prepare before the market closes for MLK Day

If you plan to make trades around the holiday, place them before the market closes on Friday. This ensures your order executes at a time when volume is normal and prices are more stable. Waiting until Monday morning to place an order means you will not be able to trade until Tuesday.

Check your brokerage's website or app to confirm the exact closing time on Friday before the holiday. Most brokerages close at 4 p.m. Eastern Time on regular trading days, but some may have different hours during holiday weeks.

Early closures and shortened trading days

The day before Thanksgiving and the day after Thanksgiving (if it falls on a weekday) are not full closures, but the market closes at 1 p.m. Eastern Time instead of the usual 4 p.m. This is called an early close. The day after Christmas, if it falls on a weekday, also closes early at 1 p.m.

MLK Day itself is a full closure with no trading at any time. Plan accordingly if you need to execute trades around this period.

Frequently Asked Questions

Can I trade stocks on MLK Day through my brokerage?

No. The NYSE and NASDAQ are closed, so no stock trades execute on MLK Day itself. You can place orders through your brokerage app, but they will not fill until the market reopens on Tuesday morning. Some brokerages offer after-hours trading, but that is not available during full market closures.

What happens to my stock holdings while the market is closed?

Your stocks remain in your account, but their prices do not change because no trades are occurring. You will not see updated values in your portfolio until the market reopens and trading resumes. Any dividends or corporate actions scheduled for the holiday are processed, but you will see the results reflected on Tuesday.

Do mutual funds and ETFs trade on MLK Day?

Mutual funds and ETFs that trade on the stock exchange follow the same closure schedule as stocks. You cannot buy or sell them on MLK Day. If you hold them in your account, their values update when the market reopens on Tuesday.

Is the bond market open on MLK Day?

No. The bond market, including Treasury securities and corporate bonds, also closes on MLK Day. Both stock and bond markets observe the same federal holiday schedule.

Can I trade cryptocurrency or futures while the stock market is closed?

Cryptocurrency exchanges and futures markets operate independently of the stock market and may remain open on MLK Day. However, traditional stock market trading is unavailable. Check your specific exchange or brokerage to confirm their holiday hours.