Will US stocks really move to 24-hour trading? Don’t get too excited yet.
I just checked the SEC’s latest published meeting page: on September 17, the SEC will hold a roundtable discussion on the evolution of US stock trading toward 24-hour sessions. The agenda includes preparations for trading at night, system resilience, and the opportunities and challenges brought by market expansion.
The real impact on ordinary investors isn’t just, “You can buy stocks in the middle of the night.”
First, sudden news may be reflected in prices faster. In the past, many pieces of information had to wait until pre-market or the open to be digested; in the future, the reaction window could be shorter.
Second, overnight liquidity may not be ideal. Even if you can trade when volume is low and bid-ask spreads are wide, that doesn’t mean the prices are favorable.
Third, the first beneficiaries may be the underlying infrastructure. Brokers, exchanges, market makers, clearing, and quote/data systems will all need to upgrade to support longer trading hours.
I’ll be watching three types of companies closely:
① Brokers: HOOD, IBKR
② Exchanges: NDAQ
③ Market makers, clearing, and market data providers
But to be clear: this is only the direction the SEC is discussing and preparing—it doesn’t mean US stocks have already fully implemented 24-hour trading.
Longer trading hours don’t necessarily mean there will be more opportunities; it may simply give more time to make mistakes.🧐
#美股 #HOOD #IBKR #NDAQ