Self-Regulatory Organizations; New York Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Rule 71, 66953-66955 [2019-26305]

Download as PDF lotter on DSKBCFDHB2PROD with NOTICES Federal Register / Vol. 84, No. 235 / Friday, December 6, 2019 / Notices designates the proposed rule change operative upon filing.22 At any time within 60 days of the filing of the proposed rule change, the Commission summarily may temporarily suspend such rule change if it appears to the Commission that such action is necessary or appropriate in the public interest, for the protection of investors, or otherwise in furtherance of the purposes of the Act. If the Commission takes such action, the Commission shall institute proceedings to determine whether the proposed rule change should be approved or disapproved. business days between the hours of 10:00 a.m. and 3:00 p.m. Copies of the filing also will be available for inspection and copying at the principal office of the Exchange. All comments received will be posted without change. Persons submitting comments are cautioned that we do not redact or edit personal identifying information from comment submissions. You should submit only information that you wish to make available publicly. All submissions should refer to File Number SR–Phlx–2019–50, and should be submitted on or before December 27, 2019. IV. Solicitation of Comments Interested persons are invited to submit written data, views, and arguments concerning the foregoing, including whether the proposed rule change is consistent with the Act. Comments may be submitted by any of the following methods: For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.23 Jill M. Peterson, Assistant Secretary. Electronic Comments • Use the Commission’s internet comment form (https://www.sec.gov/ rules/sro.shtml); or • Send an email to rule-comments@ sec.gov. Please include File Number SR– Phlx–2019–50 on the subject line. SECURITIES AND EXCHANGE COMMISSION Paper Comments • Send paper comments in triplicate to Secretary, Securities and Exchange Commission, 100 F Street NE, Washington, DC 20549–1090. All submissions should refer to File Number SR–Phlx–2019–50. This file number should be included on the subject line if email is used. To help the Commission process and review your comments more efficiently, please use only one method. The Commission will post all comments on the Commission’s internet website (https://www.sec.gov/ rules/sro.shtml). Copies of the submission, all subsequent amendments, all written statements with respect to the proposed rule change that are filed with the Commission, and all written communications relating to the proposed rule change between the Commission and any person, other than those that may be withheld from the public in accordance with the provisions of 5 U.S.C. 552, will be available for website viewing and printing in the Commission’s Public Reference Room, 100 F Street NE, Washington, DC 20549 on official 22 For purposes only of waiving the 30-day operative delay, the Commission also has considered the proposed rule’s impact on efficiency, competition, and capital formation. See 15 U.S.C. 78c(f). VerDate Sep<11>2014 16:11 Dec 05, 2019 Jkt 250001 [FR Doc. 2019–26307 Filed 12–5–19; 8:45 am] BILLING CODE 8011–01–P [Release No. 34–87645; File No. SR–NYSE– 2019–65] Self-Regulatory Organizations; New York Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Rule 71 December 2, 2019. Pursuant to Section 19(b)(1) 1 of the Securities Exchange Act of 1934 (the ‘‘Act’’) 2 and Rule 19b–4 thereunder,3 notice is hereby given that on November 18, 2019, New York Stock Exchange LLC (‘‘NYSE’’ or the ‘‘Exchange’’) filed with the Securities and Exchange Commission (the ‘‘Commission’’) the proposed rule change as described in Items I and II below, which Items have been prepared by the self-regulatory organization. The Commission is publishing this notice to solicit comments on the proposed rule change from interested persons. I. Self-Regulatory Organization’s Statement of the Terms of Substance of the Proposed Rule Change The Exchange proposes to amend Rule 71 to remove the preamble that such rule is not applicable to trading on the Pillar trading platform. The proposed rule change is available on the Exchange’s website at www.nyse.com, at the principal office of the Exchange, and 23 17 CFR 200.30–3(a)(12). U.S.C. 78s(b)(1). 2 15 U.S.C. 78a. 3 17 CFR 240.19b–4. 1 15 PO 00000 Frm 00084 Fmt 4703 Sfmt 4703 66953 at the Commission’s Public Reference Room. II. Self-Regulatory Organization’s Statement of the Purpose of, and Statutory Basis for, the Proposed Rule Change In its filing with the Commission, the self-regulatory organization included statements concerning the purpose of, and basis for, the proposed rule change and discussed any comments it received on the proposed rule change. The text of those statements may be examined at the places specified in Item IV below. The Exchange has prepared summaries, set forth in sections A, B, and C below, of the most significant parts of such statements. A. Self-Regulatory Organization’s Statement of the Purpose of, and the Statutory Basis for, the Proposed Rule Change 1. Purpose The Exchange proposes to amend Rule 71 (Precedence of Highest Bid and Lowest Offer) to remove the preamble that such rule is not applicable to trading on the Pillar trading platform. Rule 71 is applicable only to manual trading on the Trading Floor 4 and governs bids and offers verbally represented by Floor brokers at the point of sale. Paragraph (a) of that rule provides that all bids made and accepted, and all offers made and accepted, in accordance with Exchange Rules shall be binding. Accordingly, if a Floor broker bids or offers at the point of sale and another member accepts that bid or offer, the original bid or offer is binding. With respect to the close of trading, because bids and offers represented orally by a Floor broker must be represented at the point of sale by the end of Core Trading Hours,5 in accordance with Exchange rules, the last representation of verbal interest by the end of Core Trading Hours is binding on a Floor broker and cannot be modified or cancelled after the end of Core Trading Hours.6 In 2017, in anticipation of the transition to the Pillar trading platform, the Exchange amended Rule 71 to include a preamble that it was not applicable to trading UTP Securities 7 4 ‘‘Trading Floor’’ is defined as the restrictedaccess physical areas designated by the Exchange for the trading of securities. See Rule 6A. 5 See Rule 7.34(a)(2)(B). 6 Rule 7.35B(a)(1)(C) provides an exception to this requirement because, subject to Floor Official approval, electronically-entered Floor Broker Interest can be cancelled in full to correct a Legitimate Error. 7 The term ‘‘UTP Securities’’ means a security that is listed on a national securities exchange other Continued E:\FR\FM\06DEN1.SGM 06DEN1 66954 Federal Register / Vol. 84, No. 235 / Friday, December 6, 2019 / Notices lotter on DSKBCFDHB2PROD with NOTICES on the Pillar trading platform.8 At that time, it was contemplated that UTP Securities would not be eligible for Floor-based trading. Accordingly, it was appropriate at that time that a rule governing Floor-based trading conduct would not be applicable to trading on Pillar. The Exchange did not amend the preamble to Rule 71 when UTP Securities began trading on Pillar, which included Floor-based crossing transactions.9 In preparation for the transition of Exchange-listed securities to the Pillar trading platform, the Exchange amended the preambles to specified rules to provide that such rules were not applicable to trading on the Pillar trading platform.10 In other words, the preamble is applicable to both UTP Securities and Exchange-listed securities. The Exchange inadvertently included Rule 71 in this filing, and that preamble now provides that the rule is not applicable to trading on the Pillar trading platform, which includes Exchange-listed securities. Because on the Pillar trading platform, Exchange-listed securities continue to be eligible for manual trading on the Trading Floor and UTP Securities are eligible for crossing transactions, the Exchange proposes to amend Rule 71 to delete the preamble in its entirety. The Exchange believes that deleting the preamble will promote transparency in Exchange rules that the rules governing manual trading on the Trading Floor have not changed even with the transition to the Pillar trading platform. To further promote transparency, the Exchange proposes to amend Rule 71 to specify that the bids and offers referenced in that Rule that are binding are ‘‘verbal’’ bids and offers. Orders entered electronically on the Exchange are governed by Rule 7P under the Pillar platform rules. The Exchange believes that this proposed amendment will promote transparency and clarity in Exchange rules that Rule 71 addresses manual trading only, and is not applicable to the electronic entry of orders. than the Exchange and that trades on the Exchange pursuant to unlisted trading privileges. 8 See Securities Exchange Act Release No. 81225 (July 27, 2017), 82 FR 26033 (August 2, 2017) (SR– NYSE–2017–35) (Notice of Filing and Immediate Effectiveness of Proposed Rule Change). 9 See Securities Exchange Act Release No. 82945 (March 26, 2018), 83 FR 13553, 13555 (March 29, 2018) (SR–NYSE–2017–36) (Approval Order). 10 See Securities Exchange Act Release No. 85962 (May 29, 2019), 84 FR 26188 (June 5, 2019) (SR– NYSE–2019–05) (Approval Order). VerDate Sep<11>2014 16:11 Dec 05, 2019 Jkt 250001 2. Statutory Basis The proposed rule change is consistent with Section 6(b) of the Act,11 in general, and furthers the objectives of Section 6(b)(5),12 in particular, because it is designed to prevent fraudulent and manipulative acts and practices, to promote just and equitable principles of trade, to foster cooperation and coordination with persons engaged in facilitating transactions in securities, to remove impediments to, and perfect the mechanism of, a free and open market and a national market system and, in general, to protect investors and the public interest. The Exchange believes that deleting the preamble to Rule 71 would remove impediments to and perfect the mechanism of a free and open market and a national market system because manual trading continues on the Exchange, even after the transition to the Pillar trading platform, and Rule 71 governs such trading. Removing the preamble would therefore promote clarity and transparency in Exchange rules that the rules governing manual trading on the Trading Floor have not changed with the transition to the Pillar trading platform. The Exchange further believes that amending the rule to add the term ‘‘verbal’’ before ‘‘bids’’ and ‘‘offers’’ would remove impediments to and perfect the mechanism of a free and open market and a national market system because it would promote clarity and transparency in Exchange rules that Rule 71 concerns only manual trading, and is not applicable to the electronic entry of orders. B. Self-Regulatory Organization’s Statement on Burden on Competition The Exchange does not believe that the proposed rule change will impose any burden on competition that is not necessary or appropriate in furtherance of the purposes of the Act. The Exchange believes that the proposed rule change is not designed to address any competitive issues. Rather, the proposed rule change is designed to promote clarity and transparency that with the transition to the Pillar trading platform, the rules governing manual trading have not changed. Accordingly, the proposed rule change removes a preamble that was inadvertently included for securities that continue to be eligible for manual trading. 11 15 12 15 PO 00000 U.S.C. 78f(b). U.S.C. 78f(b)(5). Frm 00085 Fmt 4703 Sfmt 4703 C. Self-Regulatory Organization’s Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others No written comments were solicited or received with respect to the proposed rule change. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action Because the proposed rule change does not (i) significantly affect the protection of investors or the public interest; (ii) impose any significant burden on competition; and (iii) become operative for 30 days from the date on which it was filed, or such shorter time as the Commission may designate, it has become effective pursuant to Section 19(b)(3)(A) of the Act 13 and Rule 19b– 4(f)(6) thereunder.14 A proposed rule change filed pursuant to Rule 19b–4(f)(6) under the Act 15 normally does not become operative for 30 days after the date of its filing. However, Rule 19b–4(f)(6)(iii) 16 permits the Commission to designate a shorter time if such action is consistent with the protection of investors and the public interest. The Exchange has asked the Commission to waive the 30-day operative delay so that the proposal may become operative immediately upon filing. According to the Exchange, waiver of the operative delay would clarify, without undue delay, that Rule 71 continues to be applicable to Floorbased trading. The Commission believes the waiver of the operative delay is consistent with the protection of investors and the public interest. Therefore, the Commission hereby waives the operative delay and designates the proposal operative upon filing.17 At any time within 60 days of the filing of the proposed rule change, the Commission summarily may temporarily suspend such rule change if it appears to the Commission that such action is necessary or appropriate in the public interest, for the protection of investors, or otherwise in furtherance of 13 15 U.S.C. 78s(b)(3)(A). CFR 240.19b–4(f)(6). As required under Rule 19b–4(f)(6)(iii), the Exchange provided the Commission with written notice of its intent to file the proposed rule change, along with a brief description and the text of the proposed rule change, at least five business days prior to the date of filing of the proposed rule change, or such shorter time as designated by the Commission. 15 17 CFR 240.19b–4(f)(6). 16 17 CFR 240.19b–4(f)(6)(iii). 17 For purposes only of waiving the 30-day operative delay, the Commission has also considered the proposed rule’s impact on efficiency, competition, and capital formation. See 15 U.S.C. 78c(f). 14 17 E:\FR\FM\06DEN1.SGM 06DEN1 Federal Register / Vol. 84, No. 235 / Friday, December 6, 2019 / Notices the purposes of the Act. If the Commission takes such action, the Commission shall institute proceedings to determine whether the proposed rule change should be approved or disapproved. IV. Solicitation of Comments For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.18 Jill M. Peterson, Assistant Secretary. Interested persons are invited to submit written data, views, and arguments concerning the foregoing, including whether the proposed rule change is consistent with the Act. Comments may be submitted by any of the following methods: [FR Doc. 2019–26305 Filed 12–5–19; 8:45 am] Electronic Comments [Public Notice:10968] • Use the Commission’s internet comment form (https://www.sec.gov/ rules/sro.shtml); or • Send an email to rule-comments@ sec.gov. Please include File Number SR– NYSE–2019–65 on the subject line. Paper Comments lotter on DSKBCFDHB2PROD with NOTICES be submitted on or before December 27, 2019. • Send paper comments in triplicate to: Secretary, Securities and Exchange Commission, 100 F Street NE, Washington, DC 20549–1090. All submissions should refer to File Number SR–NYSE–2019–65. This file number should be included on the subject line if email is used. To help the Commission process and review your comments more efficiently, please use only one method. The Commission will post all comments on the Commission’s internet website (https://www.sec.gov/ rules/sro.shtml). Copies of the submission, all subsequent amendments, all written statements with respect to the proposed rule change that are filed with the Commission, and all written communications relating to the proposed rule change between the Commission and any person, other than those that may be withheld from the public in accordance with the provisions of 5 U.S.C. 552, will be available for website viewing and printing in the Commission’s Public Reference Room, 100 F Street NE, Washington, DC 20549 on official business days between the hours of 10:00 a.m. and 3:00 p.m. Copies of the filing also will be available for inspection and copying at the principal office of the Exchange. All comments received will be posted without change. Persons submitting comments are cautioned that we do not redact or edit personal identifying information from comment submissions. You should submit only information that you wish to make available publicly. All submissions should refer to File Number SR–NYSE–2019–65 and should VerDate Sep<11>2014 16:11 Dec 05, 2019 Jkt 250001 BILLING CODE 8011–01–P DEPARTMENT OF STATE Designation of Amadou Kouffa as a Specially Designated Global Terrorist Acting under the authority of and in accordance with section 1(b) of Executive Order 13224 of September 23, 2001, as amended by Executive Order 13268 of July 2, 2002, and Executive Order 13284 of January 23, 2003, I hereby determine that the person known as Amadou Kouffa, also known as Hamadou Kouffa, also known as Hamadoun Kouffa, also known as Amadou Barry, is a foreign person who is a leader of an entity whose property and interests in property are blocked pursuant to a determination by the Secretary of State pursuant to Executive Order 13224. Consistent with the determination in section 10 of Executive Order 13224 that prior notice to persons determined to be subject to the Order who might have a constitutional presence in the United States would render ineffectual the blocking and other measures authorized in the Order because of the ability to transfer funds instantaneously, I determine that no prior notice needs to be provided to any person subject to this determination who might have a constitutional presence in the United States, because to do so would render ineffectual the measures authorized in the Order. This notice shall be published in the Federal Register. Dated: July 23, 2019. Michael R. Pompeo, Secretary of State. Editorial Note: The Office of the Federal Register received this document for publication on December 3, 2019. [FR Doc. 2019–26396 Filed 12–5–19; 8:45 am] BILLING CODE 4710–AD–P 18 17 PO 00000 CFR 200.30–3(a)(12). Frm 00086 Fmt 4703 Sfmt 4703 66955 SURFACE TRANSPORTATION BOARD [Docket No. FD 36364] Decatur & Eastern Illinois Railroad, L.L.C.—Acquisition and Change of Operator Exemption—NRG, Inc., and Eastern Illinois Railroad Company Decatur & Eastern Illinois Railroad, L.L.C. (DEIR), a Class III rail carrier, has filed a verified notice of exemption under 49 CFR 1150.41 for it to (1) acquire from NRG, Inc. (NRG), an approximately 53-mile line of railroad extending between milepost 286.0 near Metcalf, Ill., and approximately milepost 338.95 (east of Oak Avenue) in Neoga, Ill., (the Line) and (2) replace NRG’s corporate subsidiary, Eastern Illinois Railroad Company (EIRC), as operator on the Line.1 The verified notice states that DEIR, NRG, and EIRC are in the process of completing terms of an Agreement for Sale and Purchase of Business Assets (the Agreement). Pursuant to the Agreement, ownership of the Line will transfer from NRG to DEIR, and DEIR will replace EIRC as the operator on the Line. DEIR states that EIRC, as a party to the Agreement, has consented to the proposed change in operators. DEIR certifies that the transaction does not include an interchange commitment.2 DEIR further certifies that its projected annual revenues resulting from the transaction will not result in its becoming a Class I or Class II rail carrier. DEIR states, however, that its annual operating revenues will exceed $5 million. Accordingly, in compliance with 49 CFR 1150.42(e), DEIR submitted a letter on November 1, 2019, certifying that it posted the required 60-day labor notice of this transaction at the workplace of EIRC employees on the Line.3 Under 49 CFR 1150.42(b), a change in operator requires that notice be given to shippers. DEIR states that notice of the proposed transaction was provided to 1 According to the verified notice, NRG is a noncarrier that acquired the assets of the Line in 1988 after the Line was abandoned by Norfolk and Western Railway Company. See E. Ill. R.R.— Operation Exemption—Line of R.R. of NRG, Inc., in Edgar, Coles, Cumberland, & Douglas Ctys., Ill., FD 31860 (ICC served June 26, 1991). 2 DEIR states that, although the transaction under which it became a common carrier involved interchange commitments in favor of the seller, see Decatur & E. Ill. R.R.—Acquis. Exemption Containing Interchange Commitment—CSX Transp., Inc., FD 36206 (STB served Aug. 24, 2018), those interchange restrictions will not extend to traffic originating or terminating on the Line. 3 DEIR states that it has been advised that no EIRC employees are represented by a labor union, and, for that reason, that portion of the advance-notice requirement is inapplicable. E:\FR\FM\06DEN1.SGM 06DEN1

Agencies

[Federal Register Volume 84, Number 235 (Friday, December 6, 2019)]
[Notices]
[Pages 66953-66955]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-26305]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-87645; File No. SR-NYSE-2019-65]


Self-Regulatory Organizations; New York Stock Exchange LLC; 
Notice of Filing and Immediate Effectiveness of Proposed Rule Change To 
Amend Rule 71

December 2, 2019.
    Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of 
1934 (the ``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby 
given that on November 18, 2019, New York Stock Exchange LLC (``NYSE'' 
or the ``Exchange'') filed with the Securities and Exchange Commission 
(the ``Commission'') the proposed rule change as described in Items I 
and II below, which Items have been prepared by the self-regulatory 
organization. The Commission is publishing this notice to solicit 
comments on the proposed rule change from interested persons.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 15 U.S.C. 78a.
    \3\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------

I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange proposes to amend Rule 71 to remove the preamble that 
such rule is not applicable to trading on the Pillar trading platform. 
The proposed rule change is available on the Exchange's website at 
www.nyse.com, at the principal office of the Exchange, and at the 
Commission's Public Reference Room.

II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, the self-regulatory organization 
included statements concerning the purpose of, and basis for, the 
proposed rule change and discussed any comments it received on the 
proposed rule change. The text of those statements may be examined at 
the places specified in Item IV below. The Exchange has prepared 
summaries, set forth in sections A, B, and C below, of the most 
significant parts of such statements.

A. Self-Regulatory Organization's Statement of the Purpose of, and the 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    The Exchange proposes to amend Rule 71 (Precedence of Highest Bid 
and Lowest Offer) to remove the preamble that such rule is not 
applicable to trading on the Pillar trading platform.
    Rule 71 is applicable only to manual trading on the Trading Floor 
\4\ and governs bids and offers verbally represented by Floor brokers 
at the point of sale. Paragraph (a) of that rule provides that all bids 
made and accepted, and all offers made and accepted, in accordance with 
Exchange Rules shall be binding. Accordingly, if a Floor broker bids or 
offers at the point of sale and another member accepts that bid or 
offer, the original bid or offer is binding. With respect to the close 
of trading, because bids and offers represented orally by a Floor 
broker must be represented at the point of sale by the end of Core 
Trading Hours,\5\ in accordance with Exchange rules, the last 
representation of verbal interest by the end of Core Trading Hours is 
binding on a Floor broker and cannot be modified or cancelled after the 
end of Core Trading Hours.\6\
---------------------------------------------------------------------------

    \4\ ``Trading Floor'' is defined as the restricted-access 
physical areas designated by the Exchange for the trading of 
securities. See Rule 6A.
    \5\ See Rule 7.34(a)(2)(B).
    \6\ Rule 7.35B(a)(1)(C) provides an exception to this 
requirement because, subject to Floor Official approval, 
electronically-entered Floor Broker Interest can be cancelled in 
full to correct a Legitimate Error.
---------------------------------------------------------------------------

    In 2017, in anticipation of the transition to the Pillar trading 
platform, the Exchange amended Rule 71 to include a preamble that it 
was not applicable to trading UTP Securities \7\

[[Page 66954]]

on the Pillar trading platform.\8\ At that time, it was contemplated 
that UTP Securities would not be eligible for Floor-based trading. 
Accordingly, it was appropriate at that time that a rule governing 
Floor-based trading conduct would not be applicable to trading on 
Pillar. The Exchange did not amend the preamble to Rule 71 when UTP 
Securities began trading on Pillar, which included Floor-based crossing 
transactions.\9\
---------------------------------------------------------------------------

    \7\ The term ``UTP Securities'' means a security that is listed 
on a national securities exchange other than the Exchange and that 
trades on the Exchange pursuant to unlisted trading privileges.
    \8\ See Securities Exchange Act Release No. 81225 (July 27, 
2017), 82 FR 26033 (August 2, 2017) (SR-NYSE-2017-35) (Notice of 
Filing and Immediate Effectiveness of Proposed Rule Change).
    \9\ See Securities Exchange Act Release No. 82945 (March 26, 
2018), 83 FR 13553, 13555 (March 29, 2018) (SR-NYSE-2017-36) 
(Approval Order).
---------------------------------------------------------------------------

    In preparation for the transition of Exchange-listed securities to 
the Pillar trading platform, the Exchange amended the preambles to 
specified rules to provide that such rules were not applicable to 
trading on the Pillar trading platform.\10\ In other words, the 
preamble is applicable to both UTP Securities and Exchange-listed 
securities. The Exchange inadvertently included Rule 71 in this filing, 
and that preamble now provides that the rule is not applicable to 
trading on the Pillar trading platform, which includes Exchange-listed 
securities.
---------------------------------------------------------------------------

    \10\ See Securities Exchange Act Release No. 85962 (May 29, 
2019), 84 FR 26188 (June 5, 2019) (SR-NYSE-2019-05) (Approval 
Order).
---------------------------------------------------------------------------

    Because on the Pillar trading platform, Exchange-listed securities 
continue to be eligible for manual trading on the Trading Floor and UTP 
Securities are eligible for crossing transactions, the Exchange 
proposes to amend Rule 71 to delete the preamble in its entirety. The 
Exchange believes that deleting the preamble will promote transparency 
in Exchange rules that the rules governing manual trading on the 
Trading Floor have not changed even with the transition to the Pillar 
trading platform.
    To further promote transparency, the Exchange proposes to amend 
Rule 71 to specify that the bids and offers referenced in that Rule 
that are binding are ``verbal'' bids and offers. Orders entered 
electronically on the Exchange are governed by Rule 7P under the Pillar 
platform rules. The Exchange believes that this proposed amendment will 
promote transparency and clarity in Exchange rules that Rule 71 
addresses manual trading only, and is not applicable to the electronic 
entry of orders.
2. Statutory Basis
    The proposed rule change is consistent with Section 6(b) of the 
Act,\11\ in general, and furthers the objectives of Section 
6(b)(5),\12\ in particular, because it is designed to prevent 
fraudulent and manipulative acts and practices, to promote just and 
equitable principles of trade, to foster cooperation and coordination 
with persons engaged in facilitating transactions in securities, to 
remove impediments to, and perfect the mechanism of, a free and open 
market and a national market system and, in general, to protect 
investors and the public interest.
---------------------------------------------------------------------------

    \11\ 15 U.S.C. 78f(b).
    \12\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------

    The Exchange believes that deleting the preamble to Rule 71 would 
remove impediments to and perfect the mechanism of a free and open 
market and a national market system because manual trading continues on 
the Exchange, even after the transition to the Pillar trading platform, 
and Rule 71 governs such trading. Removing the preamble would therefore 
promote clarity and transparency in Exchange rules that the rules 
governing manual trading on the Trading Floor have not changed with the 
transition to the Pillar trading platform. The Exchange further 
believes that amending the rule to add the term ``verbal'' before 
``bids'' and ``offers'' would remove impediments to and perfect the 
mechanism of a free and open market and a national market system 
because it would promote clarity and transparency in Exchange rules 
that Rule 71 concerns only manual trading, and is not applicable to the 
electronic entry of orders.

B. Self-Regulatory Organization's Statement on Burden on Competition

    The Exchange does not believe that the proposed rule change will 
impose any burden on competition that is not necessary or appropriate 
in furtherance of the purposes of the Act. The Exchange believes that 
the proposed rule change is not designed to address any competitive 
issues. Rather, the proposed rule change is designed to promote clarity 
and transparency that with the transition to the Pillar trading 
platform, the rules governing manual trading have not changed. 
Accordingly, the proposed rule change removes a preamble that was 
inadvertently included for securities that continue to be eligible for 
manual trading.

C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants, or Others

    No written comments were solicited or received with respect to the 
proposed rule change.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    Because the proposed rule change does not (i) significantly affect 
the protection of investors or the public interest; (ii) impose any 
significant burden on competition; and (iii) become operative for 30 
days from the date on which it was filed, or such shorter time as the 
Commission may designate, it has become effective pursuant to Section 
19(b)(3)(A) of the Act \13\ and Rule 19b-4(f)(6) thereunder.\14\
---------------------------------------------------------------------------

    \13\ 15 U.S.C. 78s(b)(3)(A).
    \14\ 17 CFR 240.19b-4(f)(6). As required under Rule 19b-
4(f)(6)(iii), the Exchange provided the Commission with written 
notice of its intent to file the proposed rule change, along with a 
brief description and the text of the proposed rule change, at least 
five business days prior to the date of filing of the proposed rule 
change, or such shorter time as designated by the Commission.
---------------------------------------------------------------------------

    A proposed rule change filed pursuant to Rule 19b-4(f)(6) under the 
Act \15\ normally does not become operative for 30 days after the date 
of its filing. However, Rule 19b-4(f)(6)(iii) \16\ permits the 
Commission to designate a shorter time if such action is consistent 
with the protection of investors and the public interest. The Exchange 
has asked the Commission to waive the 30-day operative delay so that 
the proposal may become operative immediately upon filing. According to 
the Exchange, waiver of the operative delay would clarify, without 
undue delay, that Rule 71 continues to be applicable to Floor-based 
trading. The Commission believes the waiver of the operative delay is 
consistent with the protection of investors and the public interest. 
Therefore, the Commission hereby waives the operative delay and 
designates the proposal operative upon filing.\17\
---------------------------------------------------------------------------

    \15\ 17 CFR 240.19b-4(f)(6).
    \16\ 17 CFR 240.19b-4(f)(6)(iii).
    \17\ For purposes only of waiving the 30-day operative delay, 
the Commission has also considered the proposed rule's impact on 
efficiency, competition, and capital formation. See 15 U.S.C. 
78c(f).
---------------------------------------------------------------------------

    At any time within 60 days of the filing of the proposed rule 
change, the Commission summarily may temporarily suspend such rule 
change if it appears to the Commission that such action is necessary or 
appropriate in the public interest, for the protection of investors, or 
otherwise in furtherance of

[[Page 66955]]

the purposes of the Act. If the Commission takes such action, the 
Commission shall institute proceedings to determine whether the 
proposed rule change should be approved or disapproved.

IV. Solicitation of Comments

    Interested persons are invited to submit written data, views, and 
arguments concerning the foregoing, including whether the proposed rule 
change is consistent with the Act. Comments may be submitted by any of 
the following methods:

Electronic Comments

     Use the Commission's internet comment form (https://www.sec.gov/rules/sro.shtml); or
     Send an email to [email protected]. Please include 
File Number SR-NYSE-2019-65 on the subject line.

Paper Comments

     Send paper comments in triplicate to: Secretary, 
Securities and Exchange Commission, 100 F Street NE, Washington, DC 
20549-1090.

All submissions should refer to File Number SR-NYSE-2019-65. This file 
number should be included on the subject line if email is used. To help 
the Commission process and review your comments more efficiently, 
please use only one method. The Commission will post all comments on 
the Commission's internet website (https://www.sec.gov/rules/sro.shtml). 
Copies of the submission, all subsequent amendments, all written 
statements with respect to the proposed rule change that are filed with 
the Commission, and all written communications relating to the proposed 
rule change between the Commission and any person, other than those 
that may be withheld from the public in accordance with the provisions 
of 5 U.S.C. 552, will be available for website viewing and printing in 
the Commission's Public Reference Room, 100 F Street NE, Washington, DC 
20549 on official business days between the hours of 10:00 a.m. and 
3:00 p.m. Copies of the filing also will be available for inspection 
and copying at the principal office of the Exchange. All comments 
received will be posted without change. Persons submitting comments are 
cautioned that we do not redact or edit personal identifying 
information from comment submissions. You should submit only 
information that you wish to make available publicly. All submissions 
should refer to File Number SR-NYSE-2019-65 and should be submitted on 
or before December 27, 2019.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\18\
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    \18\ 17 CFR 200.30-3(a)(12).
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Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2019-26305 Filed 12-5-19; 8:45 am]
 BILLING CODE 8011-01-P
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