SEC Approves First 24-Hour US Stock Exchange, Backed by Point72 Ventures

Nov 28, 2024, 12:43 AM

The U.S. Securities and Exchange Commission (SEC) has approved the 24X National Exchange, backed by Point72 Ventures, to operate as the first national securities exchange in the U.S. allowing trading for 23 hours a day on weekdays. This approval marks a significant shift in the structure of U.S. financial markets, aiming to cater to global investors by extending trading hours. However, the approval is for a phased launch, not the originally envisioned 24/7/365 trading. The move has raised concerns about potential harm to investors due to low liquidity and poor pricing during off-peak hours. The extended trading schedule will necessitate changes in Equity Data Plans and could open up a range of issues regarding market operations, including the consolidated data feed, limit up/down rules, order protection, and clearing processes.