Extended-hours trading
Extended-hours trading is stock trading that happens either before or after the normal trading hours of a stock exchange, i.e., pre-market trading or after-hours trading.
Since 1985, the regular trading hours for major exchanges in the United States, such as the New York Stock Exchange and the Nasdaq Stock Market, have been from 9:30 a.m. to 4:00 p.m. Eastern Time (ET).[1] Pre-market trading occurs from 4:00 a.m. to 9:30 a.m. ET.[2] After-hours trading on a day with a normal session occurs from 4:00 p.m. to 8:00 p.m. ET.[2]
Trading outside regular hours is not a new phenomenon but used to be limited to high-net-worth investors and institutional investors like mutual funds.[3] The emergence of private trading systems, known as electronic communication networks (ECNs), has allowed individual investors to participate in after-hours trading.
Financial Industry Regulatory Authority (FINRA) members who voluntarily enter quotations during the after-hours session are required to comply with all applicable limit order protection and display rules (e.g., the Manning Rule and the U.S. Securities and Exchange Commission order handling rules).[4]
See also
References
- ^ "About Us: History". NYSE. Retrieved 2007-04-11.
- ^ a b "Nasdaq Trading Schedule". NASDAQ. Retrieved 2011-08-02.
- ^ "SEC.gov". United States Securities and Exchange Commission.
- ^ Barclay, Michael J. (2003). "Price Discovery and Trading After Hours" (Document). University of California, Berkeley.
External links
- "Trade After-Hours". Invest FAQ.
This article incorporates text from this source, which is in the public domain: http://www.sec.gov/investor/pubs/afterhours.htm
 | This economics-related article is a stub. You can help Wikipedia by expanding it. |