Cboe Proposes Near 24/5 U.S. Equities Trading, Targeting Global Investors
Cboe Global Markets, a major U.S. exchange operator, has formally submitted a proposal to the U.S. Securities and Exchange Commission (SEC) that could fundamentally reshape access to American stocks. The plan seeks to launch near 24-hour, five-day trading for all National Market System (NMS) equities on its Cboe EDGX exchange, potentially starting in December 2026, pending regulatory approval.
The Proposed Trading Schedule
If the SEC approves the rule change, trading on Cboe EDGX would operate from 9 p.m. Eastern Time (ET) on Sunday through 8 p.m. ET on Friday. A one-hour nightly maintenance window would pause activity between 8 p.m. and 9 p.m. ET from Monday through Thursday. All trades would continue to be cleared and settled through the Depository Trust & Clearing Corporation (DTCC), ensuring continuity with the U.S. financial system’s core infrastructure.
Driving Force: Global Demand for U.S. Equity Access
The proposal is a direct response to intensifying demand from international investors. Market participants in the Asia-Pacific region—including hubs like Hong Kong, Tokyo, Seoul, Singapore, and Sydney—have consistently advocated for extended U.S. trading sessions. These hours would align better with their local business days, allowing them to execute trades in U.S. stocks without staying awake through the night or waiting for the next U.S. market open. This “follow-the-sun” trading model is already standard in global foreign exchange and certain derivatives markets.
Cboe’s Existing Extended Hours Footprint
Cboe is not starting from scratch. Its EDGX platform currently offers pre-market and after-hours trading from 4 a.m. to 8 p.m. ET. The exchange has documented significant growth in volume during these early morning sessions, as investors react to overnight news, earnings reports, and global macro events. This experience provides a practical foundation for the much more ambitious 24/5 schedule. Furthermore, Cboe already operates near-continuous trading for its S&P 500 index options (SPX), VIX derivatives, and its global foreign exchange platform, leveraging a proven operational model across time zones.
A Competitive Landscape of Extended Hours
Cboe’s move places it at the forefront of a broader industry shift. The New York Stock Exchange (NYSE) has previously explored expanding trading on its Arca electronic platform to approximately 22 hours daily. Retail brokers like Robinhood have reported that a substantial portion of their user trading activity already occurs outside conventional 9:30 a.m. to 4:00 p.m. ET hours, indicating a matured investor habit for non-standard session access.
The Case For and Against Around-the-Clock Trading
Proponents argue that near-24/5 trading enhances market efficiency. Investors could react instantaneously to after-hours corporate announcements, geopolitical shocks, or economic data releases (like the U.S. jobs report) without facing the gap risk of a market close. This could lead to more accurate price discovery and reduced overnight volatility spikes at the next open.
Critics and Risks: The primary concern is liquidity. Overnight sessions are historically much thinner than the main trading day. Reduced participation from market makers and institutional investors could lead to wider bid-ask spreads and increased volatility for stocks traded in these off-hours. Retail investors, in particular, might face more challenging execution conditions. These risks are acknowledged by regulators and industry experts, who stress that robust market structure and participant readiness are critical.
Path to Implementation and Next Steps
The December 2026 launch date is ambitious and contingent on several factors. Full SEC approval is the first major hurdle. Following that, a coordinated effort across the entire market infrastructure will be required. This includes readiness from trading venues, clearinghouses (like DTCC), custodians, broker-dealers, market data distributors, and technology vendors. The rollout would likely be phased, beginning with a subset of highly liquid stocks to test systems and liquidity dynamics.
This proposal, detailed in Cboe’s filing with the SEC, represents a significant bet on the future of globalized investing. It aims to make U.S. equity markets more accessible to a worldwide investor base while challenging traditional notions of a “trading day.” The industry and regulators will now scrutinize the plan’s implications for market integrity, investor protection, and systemic stability in the years ahead.
Disclosure: This article was edited by Estefano Gomez. For more information on how we create and review content, see our Editorial Policy.
