Overview of Nasdaq’s Plan to Implement 24/7 Trading
Nasdaq, one of the world’s largest stock exchanges that hosts prominent technology companies such as NVIDIA, Apple, and Amazon, is planning to submit documentation to the U.S. Securities and Exchange Commission (SEC) to implement 24/7 trading of stocks. This move aims to capitalize on the growing global demand for continuous access to U.S. equities.
Rising Demand for Continuous Trading
In recent years, investor demand for uninterrupted trading of U.S. equities has surged, prompting regulators to introduce new rules and greenlight proposals from major exchanges to enable trading outside of regular market hours.
Significance of the U.S. Stock Market
The U.S. stock market represents nearly two-thirds of the total market capitalization of publicly traded companies worldwide. Furthermore, foreign holdings of U.S. equities reached a staggering $17 trillion last year, highlighting the global importance of the U.S. stock market.
Nasdaq’s Progress and Future Plans
In March, Nasdaq’s President Tal Cohen announced that the company had initiated discussions with regulators and anticipated launching continuous trading, five days a week, in the second half of 2026.
Key Questions and Answers
- What is Nasdaq planning to do? Nasdaq intends to extend its trading hours to operate 24/7, allowing investors continuous access to U.S. equities.
- Why is Nasdaq pursuing this change? The demand for uninterrupted trading of U.S. equities has grown significantly, prompting regulators to consider extending trading hours.
- What companies does Nasdaq host? Nasdaq is home to prominent technology firms such as NVIDIA, Apple, and Amazon.
- Why is the U.S. stock market significant? The U.S. stock market accounts for nearly two-thirds of the global publicly traded companies’ market capitalization and has foreign holdings totaling $17 trillion.
- When can we expect the 24/7 trading to launch? Nasdaq aims to implement continuous trading, five days a week, in the second half of 2026.
