Yes, the stock market closes on MLK Day
The New York Stock Exchange (NYSE) and the NASDAQ both close on Martin Luther King Jr. Day, observed on the third Monday in January. This is a federal holiday, and the stock market does not trade on any federal holiday. The bond market also closes. Futures markets and some international exchanges may operate on different schedules, but U.S. equity trading halts completely.
If you hold stocks or mutual funds, you cannot buy or sell them on MLK Day itself. Any order you place will execute on the next trading day, which is Tuesday. The market opens at 9:30 a.m. Eastern Time on that Tuesday morning.
This affects not just individual traders but also dividend payments, settlement dates, and corporate announcements. If a company was scheduled to report earnings on MLK Day, they typically move the announcement to the day before or the day after.
Key Takeaways
- The NYSE and NASDAQ close completely on Martin Luther King Jr. Day, the third Monday in January each year.
- Any buy or sell order you place on MLK Day will not execute until the market reopens on Tuesday.
- The bond market and options exchanges also close on this federal holiday.
- Futures markets and international stock exchanges may trade on MLK Day, but U.S. stock trading stops.
When exactly does the market close for MLK Day
The market closes at the end of trading on Friday before MLK Day (the Friday of that week). It does not open on Monday, January 15 or whichever Monday is the third in January. Trading resumes Tuesday morning at 9:30 a.m. Eastern Time.
If you are watching your portfolio over the weekend, remember that the Monday closure means no trading activity at all — no price updates from U.S. exchanges, no order execution, nothing. International markets may trade and move prices for U.S. companies listed abroad, but the U.S. market itself is closed.
What happens to orders placed on MLK Day
If you submit a buy or sell order through your brokerage on Monday, MLK Day, the order sits in the system until the market opens Tuesday morning. Most brokerages will execute it at market open or shortly after, depending on the order type and market conditions. A market order will execute as soon as the market opens. A limit order will execute only if the stock hits your specified price.
Some brokerages allow you to place orders over the weekend or on holidays through their apps or websites, but those orders do not actually execute until the market is open. The order is queued, not filled.
Other markets that close on MLK Day
The bond market (Treasury securities, corporate bonds, municipal bonds) closes on MLK Day. This affects anyone trading fixed-income securities. The options market also closes. Forex (foreign exchange) and cryptocurrency markets operate 24/7 and do not observe U.S. holidays, so you can trade those on MLK Day if you wish.
Futures markets are more complex. Some futures contracts (like those on the S&P 500 or crude oil) trade on a reduced schedule on MLK Day, with limited volume. Micro futures and some commodity futures may trade, but volume is thin. Check with your broker about which specific contracts trade on the holiday.
How to plan around the MLK Day closure
If you know you want to make a trade before the long weekend, do it on Friday. Friday is the last trading day before the Monday closure, and you have the full trading day to execute. If you wait until Monday morning, you will have to wait until Tuesday.
If you are expecting a dividend payment or a corporate action (like a stock split or merger completion) scheduled for Monday, check your brokerage statement or the company's investor relations page to see if it has been moved. Most companies adjust their timelines around federal holidays to avoid confusion.
For automatic investments (like a 401(k) contribution or a recurring mutual fund purchase), these typically process on the next business day after the holiday. Your paycheck may still arrive on Friday, but the investment itself may not settle until Tuesday.
MLK Day market closure dates for the next five years
| Year | MLK Day Date | Market Closed | Trading Resumes |
|---|---|---|---|
| 2024 | Monday, January 15 | Monday, January 15 | Tuesday, January 16 |
| 2025 | Monday, January 20 | Monday, January 20 | Tuesday, January 21 |
| 2026 | Monday, January 19 | Monday, January 19 | Tuesday, January 20 |
| 2027 | Monday, January 18 | Monday, January 18 | Tuesday, January 19 |
| 2028 | Monday, January 17 | Monday, January 17 | Tuesday, January 18 |
Frequently Asked Questions
Can I trade stocks on MLK Day through my brokerage app?
You can place an order through your app, but it will not execute on MLK Day itself. The order will sit in the system and execute when the market opens on Tuesday morning. Some brokerages show this as "pending" or "queued." The order is not lost — it is waiting for the market to open.
Do I still get paid dividends if the ex-dividend date falls on MLK Day?
No. If the ex-dividend date (the date you must own the stock to receive the dividend) is on MLK Day, most companies move it to Friday before the holiday. Check the company's investor relations website or your brokerage statement to confirm the actual ex-dividend date. Dividend payments themselves usually arrive a few days after the ex-dividend date, regardless of holidays.
What if I need to sell stock urgently on MLK Day?
You cannot sell on MLK Day through the U.S. stock market. If you need cash immediately, you could sell other assets (like cryptocurrency or forex), but selling U.S. stocks must wait until Tuesday. If this is an emergency, contact your brokerage to discuss other options, though they cannot execute a trade on a closed market.
Do 401(k) and IRA accounts trade on MLK Day?
No. Your 401(k) and IRA are invested in mutual funds or stocks that trade on the same schedule as the regular market. On MLK Day, no trades execute. If you submit a request to move money between funds in your retirement account, it will process on Tuesday. Contributions you make on Monday will be invested on Tuesday.
Is the market closed for the full day on MLK Day or just part of it?
The market is closed for the entire day on MLK Day. There is no early close or partial trading. The NYSE and NASDAQ do not open at all. This is different from the day before Thanksgiving or the day after Christmas, when the market opens for a shortened session.