Korean exchanges, stock market trading hours extended "delayed until the second half of the year" for discussion

The Korea Exchange’s plan to extend trading hours has sparked strong opposition from some securities firms and labor unions, and they are considering delaying the implementation until the second half of this year. The original goal was to extend trading hours by opening pre-market and after-hours trading on June 29, this move was a proactive response to concerns from securities companies about insufficient physical preparation time.

On the 5th, the Korea Exchange held an emergency meeting with major member companies to discuss the extension of trading hours and gather industry opinions. During the meeting, member companies expressed the need for more time to build IT systems and complete stable electronic preparations, and the exchange said it would reconsider the implementation schedule. In particular, the operating hours for pre-market trading were also discussed, with a proposal to shorten the originally planned 10-minute reduction.

The exchange believes that extending trading hours is necessary to enhance the competitiveness of the stock market. Recently, there has been a trend worldwide toward longer trading hours, especially in the United States where such changes are progressing rapidly, and Korea needs to follow suit. However, industry groups and unions are concerned that this change could excessively amplify short-term market volatility and does not substantially help attract long-term investment.

In particular, the Securities Industry Department of the National Affairs Financial Services Union strongly opposes the plan to extend trading hours. They set up a container in front of the Korea Exchange, criticizing the exchange for advancing the extension of trading hours at the expense of the capital market’s development.

Considering the current opposition from industry and labor groups, as well as the preparation needed to ensure market stability, the plan to extend trading hours is likely to require further discussion and review. The exchange is currently negotiating with the Financial Services Commission and plans to continue gathering diverse opinions from stakeholders amid ongoing market changes.