Last Updated on March 10, 2021 by Bharat Saini
Exportation of goods and services from the United States to other countries helps to boost the national economy and create a stronger marketplace. US companies of all sizes sell their goods and services to businesses and consumers in foreign countries around the world. Many of them you may see on one or more of the stock exchanges, including the New York Stock Exchange (NYSE), NASDAQ, American Stock Exchange (AMEX), and others.
Investors invest in company stocks to make a return on their invested capital on a long-term basis. They use different investment strategies and monitor the global stock market, including international exports, imports, and economic conditions. Advanced traders purchase and sell stocks on various stock exchanges and keep up with holiday closures in order to make significant decisions. The major 2021 stock market holidays in the US include the following:
- New Year’s Day
- Presidents Day
- Good Friday
- Memorial Day
- Independence Day
- Labor Day
- Thanksgiving
- Christmas
How the Holidays Can Have an Impact on the American Stock Market
Holidays can affect stocks in the US when there is a fluctuation in the price of shares. The price can fall when the market is volatile and rise when the economy is booming. What causes the price of shares to rise or fall is the number of active trades in the market.
In January of each year, investors are more confident and optimistic about the beginning of the New Year and are likely to invest more available capital. Trading will probably decrease during the summer because investors are vacationing and they often sell their volatile investments to reduce risk. When the price of shares rallies, it increases the prices of stocks short-term and usually occurs before a three-day holiday.
Five Biggest US Exports
- Foods/Feeds/Beverages
- Industrial Supplies
- Capital Goods
- Automotive/Vehicles
- Consumer Goods
US goods exported to other countries amounted to over $2.5 trillion in 2018, with its top exports comprising petroleum, vehicles, and electric apparatus, to name a few. Political policies and the COVID-19 pandemic had an influence on world exports in 2019 and 2020, resulting in a decrease in exportation to some countries.
The coronavirus impacted exports and imports worldwide with restrictions and shutdowns. The only thing that can impede the nation flourishing is more shutdowns and business closures. Any of those events will have effects on the national economy and exports if there are changes in the demands of goods and services.
The exports above are by categories listed in the Monthly US International Trade in Goods and Services, the latest report released on January 7th, 2021. Foods/feeds/beverages comprise goods such as barley, oats, sorghum, meat, juices, beer, wine, dairy products, and many more. Industrial supplies/material is the second-largest export, including natural gas, chemicals, electrical energy, metals, and other goods. Some examples of capital goods, the next top export category, are civilian aircraft, industrial machines, medical equipment, and computers.
The US exports cars, trucks, buses, auto/vehicle parts, and three other goods made in America in the automotive category to other countries, in 2020. Consumers’ goods were fifth on the list of exports, including antiques, artwork, apparel, home appliances, furniture, and pharmaceutical preparations, for example.
The United States is the largest economy in the world by gross domestic product, followed by China, Japan, Germany, and India in 2019 and 2020. According to the US Census Bureau, the goods exported to other countries increased by $1.3 billion to $127.7 billion in November 2020, on a census basis. The biggest US exports include foods/beverages, industrial supplies, capital goods, vehicles, and consumer goods, from January to November of last year. Exportation of services experienced an increase by $0.9 billion to $56 billion in the travel and transports industry sectors.
Investors and traders monitor the number and type of exports going to other countries in the US, and foreign exports. Holidays impact how they trade, whether to sell volatile stocks or to invest more capital into stocks, bonds, and indexes. While COVID-19 changed the exporting and importing industries, the food/feeds/beverages and industrial supplies/materials were the largest exports in the US. If you are an investor and looking for investment opportunities, consider buying stocks in the summer when the prices are usually lower.