New York Stock Exchange to Extend Trading Hours on ARCA Equities Exchange

End of Robinhood's Overnight Trading Monopoly

Robinhood's monopoly on overnight trading may be coming to an end. The New York Stock Exchange (NYSE) announced in a press release that it intends to extend weekday trading on its NYSE ARCA Equities Exchange to 22 hours daily.

About NYSE ARCA

The press release describes NYSE Group’s NYSE Arca as a fully electronic exchange that is the leading U.S. exchange for listing and trading exchange-traded funds. The extension would mean that all U.S.-listed stocks, exchange-traded funds (ETFs), and closed-end funds would be available for trading on NYSE Arca during the 22-hour weekday sessions.

Extended Trading Hours

The extended trading hours would run from 1:30 am to 11:30 pm Eastern Time on all weekdays, excluding holidays. However, this is subject to regulatory approval. The NYSE also plans to seek support for extended trading from U.S. securities information processors.

Comments from NYSE Head of Markets

Kevin Tyrrell, Head of Markets at the New York Stock Exchange, stated that the NYSE’s initiative to extend U.S. equity trading to 22 hours a day, 5 days a week, highlights the strength of U.S. capital markets and the growing global demand for U.S. listed securities. He added that the NYSE is pleased to lead the way in enabling exchange-based trading for U.S.-listed companies and funds to investors in different time zones across the world.

Clearing of Trades

Trades conducted on NYSE Arca during these additional extended hours will continue to be cleared by the Depository Trust & Clearing Corporation, which recently announced plans to extend its hours of operation.

24/7 Trading Debate

As reported by Bloomberg, the New York Stock Exchange reignited the 24/7 trading debate in April by polling industry participants. NYSE President Lynn Martin told Bloomberg TV that there are many factors to consider, particularly on the infrastructure side, when considering implementing the extension.

Bottom Line

The New York Stock Exchange's decision to extend trading hours on its ARCA Equities Exchange to 22 hours a day could significantly impact the trading landscape. It marks a shift in the traditional trading hours and could potentially provide more flexibility and opportunities for traders around the globe. What are your thoughts on this development? Do you think it will benefit traders and the market as a whole? Share your thoughts with your friends. Remember, you can sign up for the Daily Briefing, which is available every day at 6 pm.