CFTC Staff Solicit Public Comment on 24/7 Trading in Derivatives Markets

The Commodity Futures Trading Commission (CFTC) has issued a Request for Comment to examine the potential uses, benefits, and risks associated with 24/7 trading in CFTC-regulated derivatives markets. The request was jointly released by the agency's Divisions of Market Oversight, Clearing and Risk, and Market Participants. The regulatory initiative aims to gather feedback on the implications of extending derivatives market trading to an effectively round-the-clock schedule. The CFTC is specifically reviewing how continuous operations would affect trading, clearing, and risk management compared to existing market hours. Additionally, the commission is seeking comments on potential risks to market integrity, customer protection, and retail market participants, as well as the demands placed on associated clearing systems. Acting Chairman Caroline D. Pham emphasized the need to adapt to evolving industry practices, noting that the agency must take a forward-looking approach to market structure shifts to maintain vibrant, resilient markets while protecting market participants. Pham identified transitions to 24/7, 24/6, or 24/5 trading hours as key developments shaping modern market innovation. The public consultation period will remain open until May 21. Interested stakeholders and market participants may submit their feedback electronically through the CFTC Comments online portal.