Brokerage firm Robinhood announced on Monday evening that it would not offer overnight trading due to an issue with its execution venue.
The company said in a post on social media site X that Blue Ocean ATS, the third-party firm that Robinhood works with for round-the-clock trading, has suspended its overnight market.
“Robinhood 24 Hour Market’s execution venue, Blue Ocean ATS (BOATs), has suspended overnight trading for tonight. 24 Hour Market orders that are open as of approx. 8 PM ET will be routed for execution starting at approx. 4 AM ET tomorrow. You may cancel your order at any time, and can still place an order for another trading session,” the statement said.
It is not clear if the suspension will last beyond early Tuesday morning, or if other brokerage firms that offer overnight trading are affected.
The announcement from Robinhood comes after several firms, including Charles Schwab, suffered technical issues on Monday that temporarily prevented some of their users from accessing their brokerage accounts.
Global markets saw a steep sell-off on Monday, with the Dow Jones Industrial Average falling more than 1,000 points and the S&P 500 posting its worst day since 2022.
Robinhood first introduced “24/5 trading” — running from 8 p.m. ET on Sunday to 8 p.m. ET on Friday — in May 2023. Overnight trading is typically limited to the most liquid stocks and ETFs in the market.
Blue Ocean did not immediately respond to a request for comment.
Source: Investing - cnbc.com
