On April 10, 2026, the Securities and Exchange Commission (SEC) announced its approval of Nasdaq’s proposal to extend its trading hours to 23 hours a day, five days a week (23/5). Nasdaq has termed this initiative “Global Trading Hours” and expects the new regime to become effective in early Q3 2026.
Background
On December 29, 2025, Nasdaq filed with the SEC a proposed change to extend its trading hours to allow for trading of national market system (NMS) stocks and exchange traded products on a 23/5 basis. Nasdaq believes the rule change is necessary to keep up with constant change and technological innovation within the U.S. equities markets, including increased interest in trading outside regular market hours and the use of automated trading. Nasdaq has observed growing interest in trading during overnight hours, especially among investors in Asia and other foreign jurisdictions where business hours do not match U.S. regular market hours.
Historically, Nasdaq has followed a 16 hours per day, five days per week trading window (16/5) split into three daily sessions: pre-market hours from 4:00 to 9:30 AM ET; regular market hours trading session from 9:30 AM to 4:00 PM; and post-market hours from 4:00 to 8:00 PM. Nasdaq is closed from the end of the post-market hours session to the start of the pre-market hours session during weekdays and all hours during weekends. The 16/5 trading system will continue until the new 23/5 global trading hours system becomes effective later this year.
New 23/5 Structure
Under the new 23/5 trading window, Nasdaq will have two trading sessions: (1) a day session, open for trading from 4:00 AM to 8:00 PM ET; and (2) a night session, open for trading from 9:00 PM to 4:00 AM ET. During the one hour between sessions, Nasdaq will conduct maintenance and testing, as well as process corporate actions such as mergers, stock splits, dividends, and name changes.
The trading week will start with a night session on Sunday night at 9:00 PM ET and conclude at the end of the day session on Friday. If Nasdaq is closed for business, the closure will be effective as of 8:00 PM on the calendar day before the closure date, and the market will reopen at 9:00 PM ET on the closure date, unless the date is a Friday. If the date is a Friday, then the market will reopen on Sunday at 9:00 PM ET.
By changing to a 23/5 model, Nasdaq believes it will be better able to align with increasing investor interest in trading outside traditional U.S. market hours. The shift will also allow Nasdaq to compete with online trading platforms that are available 24/7 and other traditional exchanges; both 24X and NYSE Arca recently received similar SEC approval for extended trading hours.
Effectiveness
Although the SEC granted accelerated approval of Nasdaq’s proposal, the new 23/5 trading regime will not become effective until several infrastructural and regulatory conditions are met.
The Equity Data Plans, which govern trading of NMS stocks, will need to confirm that they are able to collect, consolidate, process, and disseminate quotation and transaction information during the night sessions. The Depository Trust & Clearing Corporation will also need to confirm availability of securities information processors for operation during night sessions. Once these are in place, Nasdaq will submit a new proposed rule change for SEC approval.
Next Steps
Companies listed on Nasdaq—or contemplating a listing on Nasdaq—should begin planning for the new 23/5 trading regime. Important considerations include:
- Potential thinner liquidity and higher volatility during night sessions.
- Condensed periods for processing corporate actions.
- Increased exposure to global trading patterns.
- Timing of earnings releases, material information updates, and corporate transactions.
If you have any questions, or would like additional information, please contact one of the attorneys on our Capital Markets & Securities team.
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