NYSE to Extend Trading Hours to 22 Hours Daily
The New York Stock Exchange (NYSE) announced plans to extend trading hours for its all-electronic NYSE Arca exchange to 22 hours each business day, pending regulatory approval. Trading will run from 1:30 AM to 11:30 PM ET, with all US-listed stocks, ETFs and closed-end funds eligible for the extended hours.
On April 25th, the New York Stock Exchange made public its intention to significantly lengthen the trading day for its NYSE Arca electronic exchange. If approved by regulators, NYSE Arca will operate from 1:30 AM to 11:30 PM Eastern Time every business day, expanding availability to 22 hours.
NYSE Arca, a subsidiary of the NYSE, is used to trade over 8,000 US-listed securities including ETFs. On an average day in 2023, Arca handled $27.7 billion in ETF trades and $21.8 billion in individual stock transactions. The new hours would apply to all US stocks, exchange-traded funds, and closed-end funds.
Currently, “core” NYSE trading runs from 9:30 AM to 4:00 PM ET, with several additional hours of extended trading. The proposed change would dramatically increase access, with only a 2-hour overnight closure on weekdays. For investors in Asia, this translates to NYSE Arca operating until 11:30 AM China Standard Time.
The shift is in response to growing global demand for 24-hour trading, especially in the cryptocurrency markets which never close. US Treasuries, currencies, and stock index futures are also already tradable outside normal market hours. The NYSE hopes its expanded hours will attract volume from investors worldwide.
Critics argue this will amplify shortility, as overnight news and events could spark sharper price swings. Retail investors may struggle to monitor positions against full-time professionals. The change could also increase staffing costs for brokers and market makers.
However, longer hours may boost liquidity and allow faster reactions to global developments. It should help the NYSE remain competitive as trading becomes increasingly electronic and international boundaries blur. If successful, the NYSE’s move may spur other major stock markets to follow suit or risk losing market share. Truly 24-hour trading could eventually become the norm.
According to the NYSE, the extended hours are slated to begin in 2025, although implementation depends on final regulatory approval. It marks the latest evolution in NYSE’s long history of adjusting trading times to serve investors' changing needs in a technology-driven world.