Table content
# Why the Financial District is Afraid of Fridays This Year: An Extensive Analysis
Lately, “Thank God It’s Friday” is not a phrase used on Wall Street. It appears the end of the working week is becoming a cause of concern for those who invest.
Jim Reid from Deutsche Bank highlighted a concerning pattern: the S\&P 500’s average return on Fridays so far this year is a disappointing -0.3%. That makes it the lowest-performing day of the week, with Mondays being the only day that comes close with an average loss of 0.2%.
This recent Friday decline is a sharp contrast to past patterns. Friday was actually the *second-best* day for the stock market from 1928 to 2024, only Wednesdays performed better. Historically, the only day with negative returns was Monday. Toncoin (TON) Value Forecast for March 26th
## The Risk of Weekend News
Reid thinks the weekend presents too much risk for those who trade. He indicates a pattern where negative news tends to be released right before the weekend, causing markets to reduce risk exposure in anticipation of things getting worse. Consider possible tariffs or other geopolitical uncertainties. There is also the general fear of unexpected negative headlines coming out over the weekend.
And in fact, this year has had its share of bad news breaking on weekends. Do you remember when the Chinese AI startup DeepSeek topped Apple’s App Store charts over a weekend in January? Fears of too much spending on AI caused a market drop on Monday. Or when the Trump administration threatened tariffs on Canada and Mexico on a Friday in late January? The market decreased that day and continued its decline the following Monday, even after an agreement was reached to delay the tariffs.
The negative performance on Mondays this year most likely reflects the lasting impact of these weekend headlines, creating uncertainty as the week starts. The market has usually digested the news and moved on by Wednesday, the best-performing day of the week.
Per Reeds analysis, the marketplace could prolong its downturn near the week’s end, pending updates from the capital that alleviate market anxieties. He highlighted that, given the prevalence of headline-driven uncertainties, dealers prefer diminishing their holdings before the weekend, instead of waiting for market stability.
