Nasdaq announces application to extend trading hours on trading days to 23 hours

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Gold Financial reports that Nasdaq plans to submit documents to the U.S. Securities and Exchange Commission on Monday to introduce nearly around-the-clock stock trading, extending trading hours for stocks and exchange-traded products from 16 hours over five trading days to 23 hours. Currently, Nasdaq has three trading sessions on trading days: pre-market trading from 4:00 a.m. to 9:30 a.m. Eastern Time, regular trading from 9:30 a.m. to 4:00 p.m., and after-hours trading from 4:00 p.m. to 8:00 p.m. When Nasdaq implements “23/5” (23 hours of trading over five trading days a week), it plans to set up two trading sessions: a daytime trading session from 4:00 a.m. to 8:00 p.m., followed by one hour for maintenance, testing, and trade clearing; the nighttime trading session will run from 9:00 p.m. to 4:00 a.m. the next day. The daytime trading session will continue to include pre-market, regular, and after-hours trading, with opening bells at 9:30 a.m. and closing at 4:00 p.m. In the nighttime trading session, trades executed from 9:00 p.m. to midnight will be counted toward the next trading day. According to the new plan, the trading week will start at 9:00 p.m. on Sunday and end at 8:00 p.m. after the Friday daytime trading session.

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