For international investors, 24-hour trading is a game-changer — especially when an after-hours event shifts markets.
Trading U.S. stocks aligns smoothly with a standard schedule if you’re on the East Coast, with markets open from 9:30 a.m. to 4 p.m. But it’s far less convenient for those on the West Coast who need an early start, and even tougher for traders in regions like Japan, where local times make it challenging to trade during U.S. hours.
To meet the demands of global investors, the financial industry has made strides toward expanding extended trading hours and offering 24-hour trading. Advancements in technology now support these changes, and as access to capital markets becomes increasingly global, the need for round-the-clock trading grows more pressing.
While U.S. stock exchanges still hold to traditional hours established decades ago, other markets have paved the way for 24/7 trading. U.S. futures markets, for instance, trade nearly continuously from Sunday evening to Friday afternoon, and commodities and cryptocurrencies offer near-uninterrupted trading throughout the week. In contrast, the main U.S. stock exchanges offer only limited premarket and after-hours trading.
Yet, some exchanges and brokerages are expanding access. Recently, the New York Stock Exchange (NYSE) extended trading on its Arca Exchange, now allowing trades from 1:30 a.m. to 11:30 p.m. Eastern Time — effectively enabling 22 hours of trading daily. Meanwhile, Charles Schwab has broadened its 24-hour trading access, allowing clients to trade all S&P 500 and Nasdaq 100 stocks along with hundreds of ETFs.
A significant player enabling this shift is Blue Ocean Technologies, whose alternative trading system (ATS) runs from 8 p.m. to 4 a.m. Eastern Time, effectively bridging the gap for international investors during U.S. market off-hours. Partnered with over 50 brokerages, including Robinhood and Webull, Blue Ocean supports substantial overnight trading volume, particularly serving clients in the Asia-Pacific region, where demand is high.
A robust 24-hour trading infrastructure has become crucial, especially with increased market activity following major after-hours events. In August, for example, Blue Ocean experienced a massive surge in volume due to a yen-related market shock, prompting them to upgrade their system capacity with help from the MEMX exchange.
Market-moving events don’t wait for regular trading hours. From geopolitical tensions to unexpected election results, investors now expect systems to handle increased volumes reliably during volatile times. Firms that offer 24-hour trading are under pressure to match the performance and reliability of traditional trading hours, given the significant reputational impact of any outages.
Our interconnected global markets make overnight trading essential, and as international events continue to impact financial markets, the demand for accessible, around-the-clock trading is only set to grow.
