Crypto is rewriting how Wall Street traders spend their weekends
Wall Street commodity traders are changing their weekend risk management strategies due to the influence of 24/7 cryptocurrency and digital asset markets. The traditional practice of closing positions before the weekend is being challenged by the ability to trade assets continuously.
Why it matters
This shift highlights how digital assets are forcing traditional financial institutions to adapt to a non-stop, globalized trading environment.
By Friday afternoon, the mood on commodity trading desks changes.
For the first four days of the week, traders have been trying to profit from their bets. By lunch on Friday, however, they're thinking about how much risk they can tolerate until markets reopen on Sunday evening.
Anything could happen while markets are closed: news of a new war, an election result, an unexpected OPEC announcement or, as seen recently, a market-moving presidential post . Forty-eight hours can be a long time when traders are holding a position tied to a few of the world's most actively traded markets, and there's nothing they can do until trading resumes.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in