Climate
Of all the visitors to Peru, 67% go to Cusco and 62% to Machu Picchu. There is no time of year when you will have the place to yourself. Having said that, Peru's high season is from June to September and at that time, Cusco is bursting at the seams. This also happens to be the time of year which enjoys the most stable weather for hiking the Inca Trail or trekking and climbing elsewhere. The days are generally clear and sunny, though nights can be very cold at high altitude. The highlands can be visited at other times of the year, though during the wettest months from November to April some roads become impassable and hiking trails can be very muddy. April and May, at the tail end of the highland rainy season, is a beautiful time to see the Peruvian Andes, but the rain may linger, so be prepared.
On the coast, the summer months are from December to April. If you arrive in Lima between May to October you will find the area covered with what's known locally as la garúa, a thick blanket of cloud and mist. As your plane heads towards Cusco in la garúa season, you will soon be into clear skies and the mountains below can be seen rising like a new coastline out of the sea of fog. The best time to visit the jungle is during the dry season, from April to October. During the wet season, November to April, it is oppressively hot (40°C and above) and while it only rains for a few hours at a time, which is not enough to spoil your trip, it is enough to make some roads virtually impassable.
Festivals
At any given time of the year there'll be a festival somewhere in the country, at which time even the sleepiest little town or village is transformed into a raucous mixture of drinking, dancing and water throwing (or worse). Not all festivals end up as choreographed drunken riots, however. Some are solemn and ornate holy processions. But they all draw people from miles around.
Two of the major festival dates are Carnaval, which is held over the weekend before Ash Wednesday, and Semana Santa (Holy Week), which ends on Easter Sunday. Carnaval is celebrated in most of the Andes and Semana Santa throughout most of Peru. Accommodation and transport is heavily booked at these times and prices rise.
Another important festival is Fiesta de la Cruz, held on the first of May in much of the central and southern highlands and on the coast. In Cusco, the entire month of June is one huge fiesta, culminating in Inti Raymi, on 24 June, one of Peru's prime tourist attractions. Accommodation can be very hard to find at this time in the area.
The two main festivals in Lima are Santa Rosa de Lima, on 30 August, and Señor de los Milagros, held on several dates throughout October. Another national festival is Todos los Santos (All Saints) on 1 November, and on 8 December is Festividad de la Inmaculada Concepción.
Holidays
Aside from the festivals listed above, the main holidays are: 1 January, New Year; 6 January, Bajada de Reyes; 1 May, Labour Day; 28-29 July, Independence (Fiestas Patrias); 7 October, Battle of Angamos; 24-25 December, Navidad.
Most businesses such as banks, airline offices and tourist agencies close for the official holidays while supermarkets and street markets may be open. This depends a lot on where you are so ask around before the holiday. Sometimes holidays that fall during mid-week will be moved to the following Monday. Find out what the local customs and events are. Often there are parades, processions, special types of food or certain traditions (like yellow underwear at New Year's) that characterize the event. The high season for foreign tourism in Peru is June to September while national tourism peaks on certain holidays, Navidad, Semana Santa and Fiestas Patrias. Prices rise and accommodation and bus tickets are harder to come by. If you know when you will be travelling buy your ticket in advance.