The year 2025 proved to be another rewarding chapter for investors in the United States stock market, with major indices posting impressive double-digit growth. Despite a slight dip in the final trading session, the overall annual performance has set a bullish tone as Wall Street steps into 2026.
Robust Gains Cap a Strong Year for Wall Street
All three primary US stock benchmarks finished 2025 with substantial increases. The broad-based S&P 500 index surged by almost 17%, marking its third consecutive year of a bull run. Technology stocks led the charge, with the Nasdaq Composite index outperforming by climbing 20%. The blue-chip Dow Jones Industrial Average also registered a healthy advance, adding 13% over the year.
As the new year begins, market participants are actively reassessing and adjusting their investment portfolios. A key practical consideration for this week involves the trading schedule, with markets observing a holiday.
US Stock Market Holiday Schedule for January 2026
In observance of New Year's Day, a federal holiday in the United States, both the New York Stock Exchange (NYSE) and the Nasdaq Stock Market are closed on Thursday, January 1, 2026. There will be no truncated or early trading sessions; the markets are fully shut. Regular trading activities will resume on Friday, January 2.
This is not the only market holiday in January. The exchanges will also be closed on Monday, January 19, 2026, in honour of Martin Luther King Jr.'s birthday.
Here is a glance at the full US stock market holiday calendar for 2026:
- New Year’s Day: Thursday, January 1
- Martin Luther King Jr. Day: Monday, January 19
- Washington’s Birthday: Monday, February 16
- Good Friday: Friday, April 3
- Memorial Day: Monday, May 25
- Juneteenth National Independence Day: Friday, June 19
- Independence Day (Observed): Friday, July 3
- Labor Day: Monday, September 7
- Thanksgiving Day: Thursday, November 26
- Christmas Day: Friday, December 25
Key Factors and Outlook for the US Market in 2026
Several critical elements are expected to influence market direction in the coming year. A primary focus will be on the US Federal Reserve's actions regarding interest rates. This scrutiny is heightened by an impending leadership change, as the tenure of current Chair Jerome Powell approaches its conclusion.
Other factors demanding investor attention include ongoing geopolitical tensions, concerns over potentially high stock valuations, and the evolving trajectory of the artificial intelligence (AI) investment theme.
Market strategists offer a cautiously optimistic view. Roberto Scholtes, head of strategy at Singular Bank, noted that after an excellent year, fund managers likely spent the year-end realigning portfolios. Speaking to Bloomberg, he stated, "Our base case is for the bull run to continue, albeit with more volatility and resulting in mid-single digit returns."
Disclaimer: This article is for informational purposes only. The views and recommendations mentioned are those of individual analysts or broking firms. Investors are strongly advised to consult with certified financial experts before making any investment decisions, as market conditions are dynamic and individual circumstances vary.