The financial industry’s push toward 24/7 trading is drawing sharp criticism over structural risks that could undermine market quality.
As exchanges and platforms move to eliminate traditional weekend closures, experts warn that the extension of trading hours may dilute liquidity and create new avenues for market manipulation.
The concern centers on the mechanics of continuous trading.
With fewer participants active during off-peak hours, bid-ask spreads are likely to widen, increasing transaction costs for investors.
Furthermore, the lack of synchronized global oversight during these extended windows could make it easier for bad actors to exploit information asymmetries, effectively allowing more "lying" or misleading activity to go unchecked until regular business hours resume.
This debate emerges as US equity markets navigate a period of heightened uncertainty.