The order designates December 24 and December 26 as federal holidays.
President Donald Trump has signed an executive order that adds two new federal holidays around Christmas, a move that would give federal workers additional time off at the end of the year.
The order designates December 24 and December 26 as federal holidays, expanding the existing Christmas Day observance. The change would apply only to federal employees and would not mandate time off for state or local governments, nor private employers. While many workers already receive those days off or take vacation time during the holiday stretch, others are required to use personal leave. The order formalizes what has become an informal slowdown period across much of the federal workforce, with minimal disruption expected to day-to-day operations.
Financial markets would not automatically follow the federal calendar. The New York Stock Exchange does not currently close on either December 24 or December 26, though it typically holds an early close at 1 pm ET on Christmas Eve. Market participation is already thin during that period, and exchanges are not required to align with federal holidays, as seen with Columbus Day and Veterans Day.
Bond markets are similarly unaffected, as the Securities Industry and Financial Markets Association does not always observe federal holidays. As a result, the executive order would have limited direct economic impact, though it may serve as a goodwill gesture toward federal employees following recent tensions tied to budget battles and shutdown threats.
Axios also reported that it remains unclear whether the president has unilateral authority to create multiple federal holidays through executive action. Previous additions to the federal holiday calendar, including Juneteenth, were approved by Congress. Still, lawmakers may be reluctant to challenge a popular move centered on family time and the Christmas season.
The holiday proposal is among several options reportedly under consideration by Trump. Other potential actions include reclassifying cannabis at the federal level and issuing tariff rebate checks.
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