Around the world, there are several stock exchanges where traders and stockbrokers buy and sell a wide variety of securities. These are mostly shares floated by listed companies, derivatives, bonds, and varying percentages of stock. All stock exchanges also act as platforms that listed companies use to raise capital.
The first ‘official’ stock exchange was set up in the Netherlands in 1602. It was established in Amsterdam, then one of the world’s most important trading hubs, under the auspices of the vast Dutch East India Company.
Modern stock markets are more than just a junction where buyers and sellers come together. The US Stock Market, or a similar establishment in any other country, is a barometer of that country’s economic condition. They are run as independent entities; as such, there is a well-defined US Stock Market time.
When market conditions are fair, stock prices maintain a steady rate of growth.
In times of economic challenges like depressions and recessions, stock exchanges will suffer. In the past, there have been several ‘market crashes‘ in the United States and comparable economies.
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The United States has several stock exchanges, but the two major ones are the New York Stock Exchange and NASDAQ. The first one is based in New York’s Wall Street and is the largest stock exchange of the world based on market capitalisation. The NYSE is owned by the Intercontinental Exchange (ICE) which is itself listed on the NYSE.
The second-largest US Stock Market is also the world’s 2nd-largest exchange. It is owned by Nasdaq, Inc. and is located at One Liberty Plaza (formerly known as the US Steel Building) in New York City.
The NYSE was set up in 1792 while the NASDAQ was founded much later in 1971.
Both these stock exchanges abide by the US Stock Market trading hours given below. Note that most of the world’s largest exchanges also follow almost-identical timings.
|Pre-market trading hours||4.00 AM to 9.30 AM (ET)||4.00 AM to 9.30 AM (ET)|
|Normal trading hours||9.30 AM to 4 PM (ET)||9.30 AM to 4 PM (ET)|
|After-hours trading||4.00 PM to 8 PM (ET)||4.00 PM to 8 PM (ET)|
American stock market time is based on the Eastern Time Zone or ET. This time zone has 2 variables –
- Eastern Standard Time or EST: EST is observed during the autumn and winter months in New York and other cities in the US. It is 5 hours behind the Greenwich Mean Time/Coordinated Universal Time or UTC-5.
- Eastern Daylight Time or EDT: In summer and spring seasons, daylight saving time is observed. EDT is 4 hours behind UTC or UTC-4.
Although there are provisions for early trading, US Stock Market open time like dow jones, nasdaq and nyse opening time always refers to the beginning of normal hours or 9.30 AM on all working days. Trading does not happen on Saturdays and Sundays.
The following table denotes US Stock Market holidays on which no business is conducted plus some days which have truncated working hours.
|Exchange holidays & occasions||US Stock Market time|
|1st of January (New Year’s Day)||NA|
|20th of January (Martin Luther King, Jr. Day)||NA|
|17th of February (President’s Day)||NA|
|10th of April (Good Friday)||NA|
|25th of May (Memorial Day)||NA|
|4th of July (Independence Day)||NA|
|7th of September (Labor Day)||NA|
|26th of November, (Thanksgiving Day)||From 9.30 AM till 1 PM|
|24th of December, Christmas Eve||From 9.30 AM till 1 PM|
|25th of December, Christmas Day||NA|
Note – The holidays mentioned are for 2020. They may slightly differ for other years. Ordinarily, if a federal holiday is on any weekend, it is celebrated on the next working day. Thus, Christmas day will be observed on the 26th of December in 2022 since the 25th is a Sunday.
US Stock Market Time in India
Since there are several time zones between the United States and India, the following table will be a handy guide to market watchers.
India’s stock markets open at 9.15 AM and close at 3.30 PM.
Details of other major stock markets have also been incorporated.
|Name||Country||Opening time (in IST)||Closing time (in IST)|
|NYSE||The United States||7 PM||1.30 AM|
|NASDAQ||The United States||7 PM||1.30 AM|
|London Stock Exchange||The United Kingdom||1.30 PM||10.00 PM|
|Hong Kong Stock Exchange||Hong Kong||6.45 AM||1.30 PM|
|Shanghai Stock Exchange||Shanghai, China||7 AM||12.30 PM|
|SIX Swiss Exchange||Switzerland||1.30 PM||10.00 PM|
|Taiwan Stock Exchange||Taiwan||6.30 AM||11 AM|
|Japan Exchange Group||Japan||5.30 AM||11.30AM|
A Few More Facts about US Stock Market Time
There have been deviations from standard working hours of the US share market open time in the past due to various reasons. Some notable instances include –
- Immediately after the terrorist attacks of 11th of September in 2001, NYSE was closed for a record 4 straight sessions. It was a Tuesday. Operations resumed on the 17th of September, a Monday.
- On Monday, 29th of October, 2012, NYSE was closed for 2 days due to the destruction caused by Hurricane Sandy. This storm ultimately caused damages in excess of USD 70 billion – not just in the US but also in other countries.
- The NYSE has proposed to move its operations online temporarily due to the Covid-19 pandemic which is in its third wave in the country.
Once the situation normalises, it is expected that all major stock exchanges in America will resume normal operations. Currently, the US Stock Market time remain unchanged. With the US Presidential elections 2020 coming to an end, it remains to be seen if the new President tinkers with these long-standing schedules.