U.S. financial markets will be closed Monday, Feb. 19, in observance of Presidents Day, perhaps giving traders some time to reflect on the latest market turbulence that gave us the first correction in about two years.
The New York Stock Exchange and Nasdaq will be closed on Monday. Meanwhile, the Securities Industry and Financial Markets Association (SIFMA) recommends no trading in dollar-denominated securities, including bonds, money markets and certificates of deposit.
Trading in futures and options on CME Group exchanges will be halted on Monday.
There will be no economic releases on Monday, as all federal and state agencies and offices will be closed. Commercial banks will also be closed.
Cryptocurrency exchanges, which normally operate 24/7, are expected to be open.
The S&P 500 SPX, +1.34% last week tumbled 10% from its January peak, though it had recovered about a third of the losses by Wednesday, closing at 2,698.63.
The recent spike in volatility appeared to rattle the president, who had previously taken credit for big gains in the stock market since his election to the office.
In the “old days,” when good news was reported, the Stock Market would go up. Today, when good news is reported, the Stock Market goes down. Big mistake, and we have so much good (great) news about the economy!
— Donald J. Trump (@realDonaldTrump) February 7, 2018
The selloff in late January and early February was triggered by fears over accelerating inflation and higher interest rates, which are largely viewed as precursors to even tighter monetary policy.
International as well as foreign-exchange markets will be open. However, volumes might be thinner than usual.
Presidents Day was first established in 1885 on George Washington’s birthday to commemorate and honor the country’s first president. The federal holiday was later moved to the third Monday of February.