SEC Hosts Roundtable on 24-Hour Trading Amid Market Shift
The US Securities and Exchange Commission (SEC) has announced plans to host a roundtable discussion on September 17th to explore the possibility of implementing 24-hour trading in US equity markets. The event will feature a panel of major players from the financial industry, including Blackrock, Citadel Securities, NYSE, Nasdaq, Robinhood, and Interactive Brokers.
The SEC's agenda for the roundtable discussion includes examining the operational readiness of exchanges and broker-dealers, surveillance capabilities during overnight sessions, clearance and settlement systems, and other critical mechanics of nonstop trading. SEC Chairman Paul Atkins has stated that the goal is to modernize the structure of US equity markets and gather input from industry experts before writing new rules.
Interestingly, some market participants are already moving ahead with plans for extended-hours trading. Nasdaq, for example, aims to launch a 23-hour trading day on December 6th, pending final regulatory approval. NYSE has also floated its own extended-hours model, inspired by the round-the-clock nature of cryptocurrency markets.
The SEC's efforts to facilitate 24-hour trading are seen as an attempt to catch up with the market's shift towards non-stop trading. Analysts believe that the agency is trying to borrow Wall Street's expertise rather than dictate rules from outside.