overnight position investment & finance definition
A financial investment that is held after the close
of daily trading. This term is used mainly in the futures market, since some
futures traders typically close out their positions at the end of the trading
day in order to avoid any overnight developments that might produce a loss. It
applies much less to stock positions, which typically are held for long periods
See overnight position in Wall Street Words
A broker-dealer's net security position at the end of a trading day. A large overnight position leaves the broker-dealer vulnerable to events occurring before the market opens the next day.