In what could be defined as a major development for Indian investors, who constantly explore the US markets, Nasdaq is preparing to take US stock trading closer to round-the-clock operations, with plans to allow trading for nearly 23 hours a day, five days a week, as per Investing.com. Hence, it could be asserted that Indian investors may soon be able to trade US stocks during daytime hours.
The exchange plans to add a new overnight session from 9 pm to 4 am ET to its existing extended-hours trading. Under the proposed schedule, trading would run from 9 pm on Sunday to 8 pm on Friday, with a one-hour daily break between 8 pm and 9 pm ET.
This means investors in India tracking stocks such as Apple, Nvidia and Tesla could get an opportunity to trade during the morning and afternoon instead of waiting for the US market to open in the evening.
Nasdaq’s regular session from 9:30 am to 4 pm ET will remain unchanged and continue to be the key period for price discovery and market transparency.
The new overnight session is expected to begin on December 6, 2026, subject to implementation requirements. The US Securities and Exchange Commission has already approved Nasdaq’s proposal.
Why is Nasdaq extending trading hours?
The move is aimed at meeting growing global demand for US equities, particularly from investors who want to trade in their own time zones.
Chuck Mack, Nasdaq’s Senior Vice President of North American Markets, said, “We’re not just extending trading hours; we’re expanding access to the world’s most dynamic and liquid market.”
He added, “This evolution reflects a simple reality: global investors expect access on their terms, in their time zones—without compromising trust or market integrity.”
Nasdaq said foreign holdings of US equities rose 97% from 2019 to $17 trillion as of mid-2024.
What happens during overnight trading?
The new 9 pm to 4 am ET session will have some restrictions. Market participants will require new ports for order entry, while certain order types, including market orders and some opening and closing orders, will not be available.
Orders still pending at 4 am will be cancelled and can be re-entered when the next session begins. Nasdaq also plans safeguards such as static price bands to reject orders outside specified limits.
For Indian investors, the longer trading window could potentially boost interest in US equities by removing some of the time-zone barrier.
However, the restrictions on overnight trading mean the new session will not offer exactly the same trading experience as Nasdaq’s regular market hours.
The extended schedule will apply to the Nasdaq Stock Market. Nasdaq Texas, PSX and Nasdaq’s options exchanges will continue with their existing trading hours.
