SEC Chair Pushes for 24-Hour U.S. Stock Trading to Attract Global Investors

The U.S. Securities and Exchange Commission (SEC) is advancing plans to revise its securities system to enable 24-hour trading of U.S. stocks.

On April 18 (local time), SEC Chairman Gary Gensler stated at a SEC roundtable meeting that preparations for 24-hour stock market trading are underway, noting it would enhance investor response speed and expand global participation and liquidity in the market.

Gensler explained that the Depository Trust & Clearing Corporation (DTCC) is already operating a '23x5' trading system—five days a week for 23 hours—to support clearing and settlement. The U.S. financial industry has also recently established price fluctuation limits and risk management standards for overnight trading, while the Securities Information Processor (SIP) is preparing to provide pricing information during night hours.

Gensler emphasized that tokenized securities could improve efficiency in 24-hour trading by enabling real-time asset tracking via blockchain. He added that 24-hour trading would also reduce the risk of naked short selling, where shares are sold without actual possession.