Robinhood has suspended its 24-hour trading feature in response to increased market volatility.
The decision itself was most likely prompted by the fact that financial analysts say fears of a global recession have increased following the dramatic $2.9 trillion drop in the value of stock markets.
The drop, reported on August 2, 2024, is the biggest since March 16, 2020, when the COVID pandemic sparked similar concerns.
The move aims to stabilize trading conditions and prevent excessive risk for investors. Robinhood’s suspension of round-the-clock trading highlights the ongoing challenges in managing market volatility and ensuring a balanced trading environment for consumers.
This is not the first time the company has decided to suspend trading activities.
On previous occasions, such as during the GameStop stock short squeeze in January 2021, the platform took similar measures.