Do stocks settle on Veterans Day?

On Veterans Day, you can buy and sell stocks all day long, but the banks holding the money are closed. This creates a unique situation that can surprisingly delay when you get cash from a recent sale.

While a trade on your phone or computer feels instant, the actual movement of money depends on the U.S. banking system. Because the stock market is open on Veterans Day but banks are not, the final step of getting cash into your account hits a 24-hour pause.

This distinction is crucial for managing your finances around the holiday, as bank closures directly affect how stock trades settle and when your money becomes available.

Why the Stock Market Stays Open When Your Bank Closes

It’s a common source of confusion: if your local bank branch is closed for a federal holiday, shouldn’t the stock market be closed, too? Surprisingly, that’s not always the case. The major U.S. stock markets operate on their own distinct holiday schedule, which doesn’t perfectly align with the calendar of federal banking holidays.

For instance, trading comes to a complete stop for major closures like Christmas Day and Thanksgiving. However, the markets remain fully open for business on other federal holidays, most notably Veterans Day and Columbus Day. This separate schedule is decided by the markets themselves, not the government or the banking system.

This means on Veterans Day, you can log into your brokerage account and actively buy or sell shares just like any other business day. But while the trading part works normally, the bank holiday creates a unique delay that can affect when cash from a sale is actually available to you.

The ‘Pending’ Problem: What ‘Stock Settlement’ Really Means for Your Money

Ever sold a stock and wondered why the cash wasn’t available to withdraw immediately? You see the money in your account balance, but it’s marked as “unsettled funds.” This is a standard part of a crucial background process called stock settlement.

Think of a stock trade like ordering a package online. You click ‘buy,’ and your order is confirmed instantly—that’s the trade. But it still takes time for the payment to be fully processed and for the warehouse to pack and officially ship your item. In the financial world, settlement is that “packing and shipping” phase, where your ownership of the stock is formally transferred and the money officially changes hands behind the scenes.

For most stocks, this background process follows a rule known as T+1, which stands for the Trade Date plus one business day. This means the final settlement happens on the business day after you make your trade. Critically, a “business day” is a day when the core banking systems are operational, which is essential for moving the money.

Because of this waiting period, you can’t withdraw cash the second you sell a stock. The system needs that one business day to make the exchange final and official. But what happens when the stock market is open for trading, but the banks are closed for a holiday?

The Mismatch: When a Trading Day Isn’t a Business Day for Your Cash

For a stock sale to be fully complete, two major systems must work together: the stock market, where you place your order, and the banking system, which actually moves the money. Think of it like a team. The stock market can pass the ball, but the banking system needs to be there to catch it and score. If one of the players takes a day off, the game can’t finish.

This is the situation on Veterans Day. The major U.S. stock markets remain open for trading, but it is a federal banking holiday. Because banks and the money-transfer networks they rely on are closed, the “settlement” part of your trade is put on pause. The T+1 settlement clock simply doesn’t run on days when the banking system is offline.

Bank holidays create a distinction between a trading day (when you can buy or sell shares) and a business day (when the money can officially move). On Veterans Day, you can trade freely, but that day won’t count toward the one business day your funds need to settle, which is essential for knowing when your cash will be ready.

A Practical Timeline: Tracing Your Money Around the Veterans Day Holiday

Let’s trace exactly what happens to your money in a common scenario. Imagine you sell some stock on a Friday morning, expecting the cash to be ready to withdraw on Monday. Your trade executes immediately, and your brokerage account likely shows that the proceeds are on their way. The T+1 settlement clock has officially started ticking.

Under normal circumstances, “T+1” would mean your cash settles on the very next business day—Monday. But if that Monday is Veterans Day, the mismatch between the stock market and the banking system kicks in. Because banks are closed, Monday doesn’t qualify as a business day for the purpose of moving money, and the settlement clock effectively pauses.

As a result, the clock resumes on Tuesday. That Tuesday becomes your actual “plus one” settlement day. The cash from your Friday sale will officially land in your account and become available for withdrawal on Tuesday, not Monday. This one-day delay is a direct result of the banking system, not the stock market, being closed.

Always factor in banking holidays when you need cash from a recent sale. While the stock market may be open, the background mechanics for your money operate on a different schedule. This rule applies cleanly to stocks, but the bond market follows a completely different set of holiday rules.

What About the Bond Market? A Completely Different Holiday Schedule

Just when you think you have the rule down for stocks, the bond market introduces its own twist. So, are bond markets closed on Veterans Day? In almost all cases, yes. While the major U.S. stock markets are buzzing with activity, the vast marketplace for government and corporate bonds typically takes the day off, creating a notable split in the financial world.

The reason for this difference stems from recommendations made by a key financial industry group, SIFMA. Since bond trading is deeply intertwined with the banking and lending systems that observe federal holidays, the group recommends bond market closings to prevent settlement gridlock. In short, because the banks are closed, the bond market closes, too.

This difference between the stock and bond market holiday schedules shows that “the market” isn’t one single entity but a collection of systems, each with its own calendar.

Mark Your Calendar: The Official U.S. Stock Market Holidays

To clear up any confusion, remember that the U.S. stock markets operate on a smaller holiday schedule than the federal government. This is why you can trade on days like Veterans Day and Columbus Day, even when banks and post offices are shut. Think of it as a predictable calendar that rarely changes, giving you a firm guide for your investment planning.

The major U.S. markets fully close for business on only nine days each year. You can count on trading to be halted for:

• New Year’s Day
• Martin Luther King, Jr. Day
• Washington’s Birthday (Presidents’ Day)
• Good Friday
• Memorial Day
• Juneteenth National Independence Day
• Independence Day
• Labor Day
• Thanksgiving Day
• Christmas

Knowing the official stock market holiday schedule helps you time trades and ensure your money is available exactly when you need it.

Your Holiday Trading Plan: Key Takeaways

The key to managing your finances around market holidays is understanding the difference between a trading day (when markets are open) and a settlement day (when banks are open). This knowledge provides foresight for your financial timeline.

When Veterans Day approaches, you can trade with confidence, knowing to plan for a one-day delay in getting cash from a sale. This small adjustment helps prevent unwelcome surprises and puts you in control of your money’s movement.

As a simple rule of thumb, always trust the “cash available for withdrawal” balance in your brokerage account. Before making plans, check that number. It cuts through the confusion and tells you exactly what funds are settled and ready to use, empowering you to act with certainty.