How can shares change in price after trading ends if noone is trading them?
In: Economics
Commodities are traded world-wide and there is always an open market.
When it comes to shares of very big companies, some of them are listed on several different markets and this can be the reason.
Also, there is no law banning people from exchanging shares between them, if they agree on a price, without a broker. There is the official market where trading happens according to a very strict set of rules and it has official opening hours. But there are also many unregulated markets – ECNs being the most common – that will quote a price during off-hours. Generally, they are much more volatile and they are considered riskier. Usually the opening price in the morning will account for what happened overnight. Sometimes, a panic that happened during the night trading will dissipate in the morning, sometimes not.
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