U.S. Stock Markets Prepare for 24-Hour Trading
The global demand for round-the-clock trading of traditional financial assets is gaining momentum, prompting major U.S. stock exchanges to reconsider their trading hours.
Nasdaq and the New York Stock Exchange (NYSE) are pushing forward with plans to extend trading sessions to 24/7 operations, potentially by the second half of 2026.
This move is largely driven by the shift in trading habits influenced by cryptocurrency markets, which have operated non-stop for years.
Demand for Extended Hours Grows Worldwide
Giang Bui, head of U.S. Equities & Exchange-Traded Products at Nasdaq, highlighted the increasing global demand for U.S. stocks, emphasizing that traders are looking to engage with the markets during hours that fit their own schedules.
On Thursday, Bui said during a discussion at the Digital Asset Summit in New York,
"There's a lot of demand globally for U.S. stocks and people want to trade within the hours that they're typically awake, and I think a lot of it is because people are used to trading crypto 24/7."
The shift in trading expectations, he added, has led to a surge in demand for flexibility, as traders seek access to global markets during their own waking hours.
Nasdaq and NYSE Seek Regulatory Approval
Both Nasdaq and the NYSE are in the process of seeking regulatory approval to offer 24-hour trading.
Nasdaq has already begun discussions with regulators about extending its trading hours, while the NYSE has already secured approval for the change.
This shift could significantly alter how global traders interact with the U.S. stock market, providing greater access to U.S. assets regardless of time zone.
Benefits of Around-the-Clock Trading
The introduction of 24-hour trading could offer multiple benefits, including greater market liquidity and increased trading volume.
Traders will no longer be constrained by fixed hours, allowing them to respond to market changes as they happen, irrespective of local time zones.
For many, this flexibility is becoming essential.
Bui noted,
"We're hearing it across the board from global broker dealers, clients who they're servicing, even within the U.S., there's a number of U.S. brokers that already are offering overnight trading because their customers are used to trading crypto in those hours."
Nasdaq's Crypto Products Drive Market Demand
In line with this shift, Nasdaq has made significant moves in the crypto space, listing several crypto-related products.
Among them is the iShares Bitcoin Trust (IBIT), a spot ETF by BlackRock, which achieved the most successful debut for an ETF in U.S. history.
Nasdaq has also recently added two Solana (SOL) futures ETFs, further catering to the growing interest in digital assets.
A Growing Trend in Financial Markets
The push for 24/7 trading is part of a broader trend as financial markets evolve to meet the needs of global traders.
With crypto assets already available for trading at any time, traditional markets are now following suit to stay competitive and accessible to investors worldwide.
This move could reshape the landscape of stock trading, offering greater flexibility for market participants.