When will the CME and other exchanges transition to 24/7 trading? What is your prediction? What year? It's inevitable that it will happen, so what's the holdup? The technology to do it has existed for more than a decade, so that's not a reason. Google stays up 24/7 with no problems. This seems like a no-brainer win-win for everyone, similar to the transition from fraction to decimal pricing. First of all traders win because they get more days to make money and you get rid of the huge risk of holding overnight/weekends. Countless traders over the years have blown up holding over the weekend. With increased volume the CME collects more fees, the NFA collects more fees and the market data providers (CQG/TT/Rithmic) that charge per contract fees collect more fees. Low volume/liquidity is not a reason against the idea because overnight sessions already have that problem. Full "overnight" and day margins can still exist. The "close" time can still exist so that if the "close" time is let's say 5 PM and you're in a position at exactly 5:00:00:000, you have to come up with full margin.... The "open" time/price can be 1 nanosecond after 5 PM. It would be nice to have close/open prices be only a tick or two away. No more gap "opens". Or the CME can have a formula for open/close prices similar to what they currently do to calculate settlement prices, but I don't really see a point in doing that. Banging the close is already illegal.
CME would have to staff up over the weekend. Probably not worth it to them for the marginal extra revenue.
Everything is being automated these days. The computers and robots are running everything. If the CME doesn't get to 24/7 first, the competition will. It's just a matter of time.
There's no real competition. CME amalgamated the major US exchanges, and ICE is, uhhh, famous for its customer service.
There is no demand for it. The US markets, stock market at least, was open on Saturdays during the daytime in Livermore's day. They stopped doing this in 1952 US markets trade out of hours so Europeans and Asians can trade US products when their financial centres are open for business. During the weekend all major financial centres are closed.
Yes, except the bitcoin/crypto exchanges. That's competition. Haven't Chase, Fidelity and other banks made announcements that they're going to open crypto exchanges/trading. Seems like they're going to be open 24/7. I'm guessing the CME bitcoin futures will go 24/7 first. Then they might expand to other instruments.
It's going to difficult for the exchanges to avoid going 24x7. Stocks are getting fringe competition from the ICO market and the coins generated traded 27x7. Futures already face a fringe competition from crypto futures offerings at a few crypto exchanges.
just because a market goes 24/7 doesn't mean total volume increases. You end up with a less liquid market overall. That's what happened to grains so hours were cut
Current market cap of all the Crytos is not even 1% of the US stocks. Let alone the total world stock market cap.