tl;dr
The New York Stock Exchange (NYSE) is exploring the possibility of implementing round-the-clock stock trading, including weekends, in a move that mirrors major cryptocurrency exchanges. A recent survey by NYSE's data management team delves into staffing for overnight sessions, investor protection ag...
The New York Stock Exchange (NYSE) is considering implementing round-the-clock stock trading, including weekends, akin to major cryptocurrency exchanges. A recent survey conducted by NYSE's data management team explores staffing for overnight sessions, protecting investors against price swings, and the value of overnight trading. This move reflects the fact that U.S. stock trading hours trail behind crypto, US treasuries, major currencies, and stock index futures. The survey follows a recent SEC filing from startup 24 Exchange seeking approval for the nation's first all-hours stock exchange. The potential impact of all-hours stock trading on Bitcoin ETFs and Bitcoin's trading patterns is also under scrutiny. The NYSE survey delves into questions about all-hours trading, including whether weekend trading should be included, how overnight sessions should be staffed, and how investors should be protected against large price swings. It also probes whether "time spent thinking about overnight trading would be better spent on regular market hour trading". While the survey was issued by NYSE's data management team, it underscores the growing interest in trading stocks like Apple (AAPL) or NVIDIA (NVDA) during late-night hours between 8:00 pm and 4:00 am Eastern Time (ET). In comparison, regular U.S. stock trading occurs between 9:30 am and 4:00 pm ET, with both NYSE and Nasdaq offering pre-market trading between 4:00 am and 9:30 am ET, and after-market trading between 4:00 pm and 8:00 pm ET. However, these additional trading windows are characterized by lower volume, lower liquidity, greater volatility, and higher spreads. As a result, U.S. stock trading lags behind not only crypto but also US treasuries, major currencies, and stock index futures, all of which can be traded at all hours from Monday to Friday. The limited trading hours have put U.S stock trading behind not only crypto but also US treasuries, major currencies, and stock index futures. The potential impact of all-hours stock trading on Bitcoin ETFs and Bitcoin's trading patterns is also under scrutiny. This could have implications for Bitcoin's trading patterns, especially during weekends, where trading volume has dwindled to just 13% of the total volume due to Bitcoin ETFs being offline at those times. Roughly one-third of the total Bitcoin spot volume now trades via the Bitcoin ETFs, according to Glassnode. It is important to note that the U.S. stock trading hours lag behind other financial instruments, and the potential changes being explored by NYSE could have far-reaching implications for both traditional stock trading and the cryptocurrency market.
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