Stock Market Hours: All You Need To Know
The stock market can be described as a world in its own right. Getting fully into stock trading requires that you possess all the necessary information, such as what stocks to trade in, where to trade, and also when you can trade.
Stock market hours are the designated time frame within which trading activities can be carried out on the stock market.
Most Americans use the New York Stock Exchange and the Nasdaq. Of course, there are many other exchanges used by people residing in various parts of the world, such as the London Stock Exchange for those in the United Kingdom, the Tokyo Stock Exchange servicing Japan, the Shanghai Stock Exchange in China, and Europe’s Euronext. All of these exchanges or markets operate on a local time zone basis, as well as with local customs.
What Time Does the Stock Market Open?
As mentioned, various stock exchanges open trading at different times and in different time zones. Let’s review opening hours by location:
The NYSE and the Nasdaq - the two main exchanges for American stock traders - both have headquarters in New York and are open to traders and stock brokers five business days a week (Monday to Friday), from 9:30 a.m. to 4 p.m. Eastern Standard Time. These NYSE hours are observed throughout the year, except for nine federal holidays:
- Martin Luther King Jr. Day - Third Monday of January
- New Year’s Day - January 1
- Independence Day - July 4
- Good Friday - The Friday immediately preceding Easter Sunday
- Labor Day - The First Monday in September
- Memorial Day - The Last Monday of May
- Presidents’ Day - The Third Monday of February
- Thanksgiving - The fourth Thursday in November
- Christmas - December 25
For stock traders in Canada, the Toronto Stock Exchange (TSX or TMX) is the go-to market. The stock market open time in Toronto is the same as in the United States; 9:30 a.m. to 4 p.m. Eastern Time. As for the holiday close times, the Toronto Stock Exchange closes for 10 days in a year:
- New Year’s Day - January 1
- Family Day - The third Monday in February
- Good Friday - The Friday immediately preceding Easter Sunday
- Victoria Day - The last Monday preceding May 25
- Canada Day - July 1
- Civic Holiday - The first Monday in August (except in Quebec, Newfoundland and Labrador, Ontario, and Yukon)
- Labor Day - May 1
- Thanksgiving - The second Monday in October
- Christmas* - December 25
- Boxing Day - December 26
* On Christmas Eve (December 24), the Toronto Stock Exchange has modified hours.
What time do the markets open in Europe? The Euronext exchange is headquartered in Amsterdam, Netherlands, with opening hours from 8 a.m. to 5:40 p.m., Central European Time. The stock market in Amsterdam is open all year long, except on the following holidays: Good Friday, Easter Monday, and Boxing Day. Euronext markets in other European cities have different holidays. The full list can be viewed on the Euronext official site.
The Swiss Exchange (SIX) is headquartered in Zurich, Switzerland, and its trading hours depend on the trading segment. The SIX’s stock market hours apply all through the year, except for six holidays each year, including New Year’s Day, Good Friday, Easter Monday, Labor Day, Christmas, and Boxing Day (St. Stephen’s Day).
The London Stock Exchange Group operates from 8 a.m. to 4:30 p.m. Greenwich Mean Time or British Summer Time. It’s closed for eight holidays in a year, which include:
- New Year’s Day
- Good Friday
- Easter Monday
- Early May Bank Holiday - First Monday of May
- Spring Bank Holiday - Last Monday in May
- Summer bank holiday - Last Monday of August
- Christmas Day
- Boxing Day
As with the Euronext and SIX, Christmas Eve and New Year’s Eve have modified hours. (In 2022, the London Stock Exchange will also be closed on June 3, the Platinum Jubilee of Queen Elizabeth II.)
Lunch breaks are not typically observed by the NYSE, the Nasdaq or the TSX. In Asian markets, however, they are mandatory.
The stock market open time for the Tokyo Stock Exchange is 9 a.m. Trading continues till 11:30 a.m, where a lunch break is observed. The market resumes by 12:30 p.m. and then closes by 3 p.m. Japan Standard Time.
The Tokyo Stock Exchange is closed for 22 holidays every year, specifically on New Year’s Day, the market holidays on January 2 and 3, National Foundation Day, Coming of Age Day, Sports Day, Vernal Equinox, Showa Day, Emperor’s Birthday, Respect for the Aged Day, Constitution Memorial Day, Greenery Day, Children’s Day, Marine Day, Mountain Day, Thanksgiving Day, Autumnal Equinox, Labor Day, and a New Year’s Eve market holiday.
China has two markets: the Shanghai Stock Exchange in Shanghai, and the Shenzhen Stock Exchange in Shenzhen, China. They are both open from 9:30 a.m. to 11:30 a.m. A lunch break starts at 11:30 a.m. and lasts till 1 p.m. After the break, the markets remain open till 3 p.m., China Standard Time.
Both markets are closed for 15 holidays each year: New Year’s Day, Labor Day, Qingming Festival, five days for the February Spring Festival in February, two days for the Mid-Autumn Festival, the Dragon Boat Festival, and four days for National Days in October.
The Hong Kong Stock Exchange in Hong Kong is open from 9:30 a.m. to 12 p.m. and then from 1 p.m. to 4 p.m. Hong Kong Time. It’s closed for 17 days each year: New Year’s Day, the Qingming Festival, Easter Monday, three days for the Lunar New Year, Labor Day, Good Friday, Special Administration Region Establishment Day, Dragon Boat Festival, three National Days, and then two days for Christmas and New Year’s Day.
India’s exchange is the Bombay Stock Exchange, with headquarters in Mumbai. Its trading hours are from 9:15 a.m. to 3:30 p.m. Indian Standard Time. It’s not active for 16 holidays each year: Mahashivratri, Good Friday, Republic Day, Holi, Independence Day, Dr. Baba Saheb Ambedkar Jayanti, Eid-Ul-Fitr, Bakri Id, Muharram, Mahatma Gandhi Jayanti, Dussehra, Diwali, Ram Navami, Gurunanak Jayanti, Ganesh Chaturthi, and Christmas.
Extended Hours Trading
In the past, core trading on the stock exchange could only happen within market hours. However, with advancements in technology, trading activity can now take place before and even after official trading hours. We refer to these as pre-market hours and after hours.
As the name implies, pre-market trading occurs in the hours before the market is opened. Different exchanges have different regulations for extended hours. Even brokerage firms offering the opportunity to traders may enforce their own rules, with most of them requiring their customers to agree to the Electronic Communication Network’s user agreement before they can enjoy trading in extended hours.
It’s important for traders to really understand the risks that extended trading can bring. Some of these include higher volatility and lesser liquidity compared to official hours.
When does the pre-market open? The NYSE offers pre-market trading from 7 a.m. to 9:30 a.m. For Nasdaq, the hours are between 4 a.m. and 9:30 a.m. The Electronic Communication Network electronically pairs buyers and sellers and then executes limit orders. In some scenarios, orders made during extended hours happen through a dealer at a price that’s better than what the ECN’s best offer is. At the end of extended hours, any incomplete orders will be canceled.
The New York Stock Exchange and the Nasdaq allow after-hours trading from 4 p.m. to 8 p.m.
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The Bottom Line
Official stock exchange hours vary from market to market due to time zone and other differences. With extended hours trading, however, you may trade at a personally convenient time, and eliminate wait times.
As there are numerous exchanges in existence, so are there stocks to choose from. If you find that a particular exchange’s trading hours are not convenient for you and don’t fancy extended hours, you can always check out another exchange with different hours.
What are the pros and cons of extended trading?
Notable pros include being able to trade shares and stocks at any time that is convenient for you and placing a trade just after public companies have released their quarterly earnings (after 4 p.m.).
Some of the cons include orders not being guaranteed to go through after they’ve been placed, less demand and supply of stock than there is during stock market hours, and higher price volatility.
What brokerages offer pre-market and after-hours trading?
Some brokerage accounts that offer extended-hours trading include Charles Schwab, Merrill Edge, and Fidelity.
I have always thought of myself as a writer, but I began my career as a data operator with a large fintech firm. This position proved invaluable for learning how banks and other financial institutions operate. Daily correspondence with banking experts gave me insight into the systems and policies that power the economy. When I got the chance to translate my experience into words, I gladly joined the smart, enthusiastic Fortunly team.
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