The stock and bond markets will adjust their hours ahead of the Fourth of July holiday. On July 3, both the Nasdaq and the New York Stock Exchange (NYSE) will close early at 1 p.m. Eastern Time, continuing the tradition of early closures before Independence Day. Additionally, the bond markets will have a similar early closing time at 2 p.m. Eastern Time, as confirmed by the Securities Industry and Financial Markets Association for both corporate and government bonds.
Notably, all US financial markets will be closed on July 4 in observance of Independence Day. Trading will resume at normal hours on Monday, July 7. Historically, the S&P 500 has demonstrated positive performance leading up to the holiday, averaging a gain of about 5% from the start of the year to July 4 over the past five years.
Looking beyond the holiday, international markets, such as the London Stock Exchange and the Tokyo Stock Exchange, will remain open on July 4, as the US holiday does not impact their trading schedules. However, many US banks and postal services will be closed for the holiday, with FedEx and UPS also observing modified hours.
In conclusion, as the nation prepares to celebrate Independence Day, the early market closures provide traders and investors a chance to take a break and enjoy the holiday festivities.