Nasdaq Inc. will extend its trading hours to nearly 23 hours per day starting in December, the company announced on Monday.
The expanded session, running from 4:00 a.m. to 8:00 p.m. Eastern Time, will cover 19 hours and 45 minutes of continuous trading, up from the current 6.5-hour regular session. The move follows Nasdaq’s earlier pilot program, which tested extended hours for select stocks and garnered positive feedback from market participants.
The initiative aims to align U.S. markets more closely with global trading patterns, particularly in Europe and Asia, where extended hours are already common. Nasdaq cited increased demand for after-hours trading as a key driver, noting that nearly 30% of its volume now occurs outside regular market hours.
Competitors including Cboe Global Markets and Intercontinental Exchange have also explored longer trading sessions, though none have matched Nasdaq’s proposed duration. Industry analysts suggest the shift could enhance liquidity and reduce volatility spikes at the open and close of regular trading.
The extended hours will initially apply to all Nasdaq-listed stocks, including major indices such as the Nasdaq-100 and Nasdaq Composite. The company has not yet announced whether other U.S. exchanges will adopt similar measures.
Nasdaq plans to provide further details on implementation, including technological requirements and regulatory approvals, in the coming weeks.
