1. Nasdaq plans near-24-hour trading for U.S. equities starting mid-2026. 2. Critics say this could exacerbate market volatility and thin liquidity. 3. Wells Fargo describes the change as gamifying stock trading even further. 4. Concerns raised about impact on listed companies' news releases. 5. The NYSE is also exploring extended-hours trading options.
FAQ
Why Bearish?
Extended trading hours may lead to increased market volatility, harming investor confidence. Historical examples include the 2020 market fluctuations due to sudden trading volume spikes.
How important is it?
The near-24-hour trading proposal is highly relevant, capturing changes in market infrastructure. It may influence trading strategies within the S&P 500.
Why Short Term?
Market reactions may occur swiftly as traders adjust to new dynamics. Short-term volatility is expected as liquidity issues arise.