Stock markets in multiple countries extend trading hours! Five major news stories impact the stock market tonight!
Today, five major news stories, like depth charges, have stirred up ripples in the global stock market. I will take you deep into the underlying implications of these news stories and how they are shaping our investment world.
1. New trend in global stock markets: Extended trading hours
The New York Stock Exchange (NYSE) recently announced plans to extend the trading hours of its fully electronic trading platform, NYSE Arca, to 22 hours per working day, covering a period from 1:30 AM to 11:30 PM. This change undoubtedly brings a new benchmark to the trading patterns of global stock markets.
Data comparison shows that NYSE Arca currently trades approximately $27.7 billion worth of ETFs daily and about $21.8 billion in company stocks. With the extension of trading hours, these figures are expected to grow. The increasing interconnectivity of global financial markets and the frequency of cross-border transactions have made extended trading hours a new trend. The Tokyo Stock Exchange in Japan has also decided to extend trading hours by 30 minutes starting from November 5, 2024, increasing the total daily trading time to 5.5 hours.
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2. The 24/7 trading model of cryptocurrency
The 24/7 trading model of the cryptocurrency market has had a significant impact on traditional stock markets. This model has attracted a large amount of capital that is unwilling to "sleep," forcing traditional stock markets to consider extending trading hours to meet the demands of global investment.
3. The internationalization process of the A-share market
In August 2023, relevant officials from the China Securities Regulatory Commission proposed studying the appropriate extension of trading hours for the A-share market and exchange bond market to better meet investment and trading needs. A research report from CICC pointed out that compared to the trading hours of major global stock exchanges, the daily trading time of A-shares is relatively short. Extending the trading hours of A-shares will help increase the activity of securities trading and is beneficial for aligning the A-share trading system more closely with international standards.
4. Increased interconnectivity of global stock markets
The interconnectivity of global stock markets has been strengthened, with more and more investors looking beyond their domestic markets for investment opportunities. This has led to a greater need for extended trading hours to accommodate the global nature of investment activities.The increasing interconnectivity of global financial markets, the growing frequency of cross-border transactions, and the significant rise in the demand for global investors to allocate assets and manage risks across regions. Coupled with the increasing maturity of information technology behind trading and settlement, all market participants generally hope that exchanges can extend trading hours to increase trading windows and provide investors with more flexible trading opportunities.
V. New Trends in Stock Market Trading Volume
In October 2024, the turnover of the A-share market reached 1.86 trillion, with an increase of nearly 100 billion compared to the previous trading day. The growth of this data not only reflects the improvement of market activity but also indicates the strengthening of investors' confidence in the market.
【Conclusion】
Against the backdrop of the global stock market extending trading hours, we have witnessed the rapid changes in the financial market and the diversification of investor demands. These changes not only provide investors with more trading opportunities but also point the way for the future development of the global financial market. As investors, we need to keep pace with the market, flexibly adjust our investment strategies, and cope with this new era full of challenges and opportunities.
In this volatile stock market, the release of every piece of news could become the key to changing the rules of the game. The five major news items released early this morning undoubtedly brought a new shock wave to the global stock market. I will continue to pay attention to these changes and provide you with the most in-depth analysis and interpretation. Let's welcome this new era full of challenges and opportunities together.
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