Self-Regulatory Organizations; New York Stock Exchange LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend Rules 7.35A, 7.35B, and 7.35C for a Temporary Period, 17141-17146 [2020-06290]
Download as PDF
<![CDATA[
Federal Register / Vol. 85, No. 59 / Thursday, March 26, 2020 / Notices
change, or within such longer period up
to 90 days as the Commission may
designate if it finds such longer period
to be appropriate and publishes its
reasons for so finding or as to which the
self-regulatory organization consents,
the Commission shall either approve the
proposed rule change, disapprove the
proposed rule change, or institute
proceedings to determine whether the
proposed rule change should be
disapproved. The 45th day for this filing
is March 21, 2020.
The Commission is extending the 45day time period for Commission action
on the proposed rule change. The
Commission finds that it is appropriate
to designate a longer period within
which to take action on the proposed
rule change so that it has sufficient time
to consider the proposed rule change.
Accordingly, pursuant to Section
19(b)(2)(A)(ii)(I) of the Act 5 and for the
reasons stated above, the Commission
designates May 5, 2020, as the date by
which the Commission shall either
approve, disapprove, or institute
proceedings to determine whether to
disapprove, the proposed rule change
(File No. SR–CboeEDGX–2020–005).
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.6
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2020–06288 Filed 3–25–20; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–88440; File No. SR–
CboeBZX–2020–011]
Self-Regulatory Organizations; Cboe
BZX Exchange, Inc.; Notice of
Designation of Longer Period for
Commission Action on Proposed Rule
Change To Amend Certain Rules
Within Rules 4.5 Through 4.16, Which
Contains the Exchange’s Compliance
Rule (‘‘Compliance Rule’’) Regarding
the National Market System Plan
Governing the Consolidated Audit Trail
(the ‘‘CAT NMS Plan’’ or ‘‘Plan’’), To Be
Consistent With Certain Proposed
Amendments to and Exemptions From
the CAT NMS Plan as Well as To
Facilitate the Retirement of Certain
Existing Regulatory Systems
to Section 19(b)(1) of the Securities
Exchange Act of 1934 (‘‘Act’’),1 and
Rule 19b–4 thereunder,2 a proposed rule
change to amend the Exchange’s
compliance rule regarding the National
Market System Plan Governing the
Consolidated Audit Trail. The proposed
rule change was published for comment
in the Federal Register on February 5,
2020.3 The Commission has received no
comment letters on the proposed rule
change.
Section 19(b)(2) of the Act 4 provides
that within 45 days of the publication of
notice of the filing of a proposed rule
change, or within such longer period up
to 90 days as the Commission may
designate if it finds such longer period
to be appropriate and publishes its
reasons for so finding or as to which the
self-regulatory organization consents,
the Commission shall either approve the
proposed rule change, disapprove the
proposed rule change, or institute
proceedings to determine whether the
proposed rule change should be
disapproved. The 45th day for this filing
is March 21, 2020.
The Commission is extending the 45day time period for Commission action
on the proposed rule change. The
Commission finds that it is appropriate
to designate a longer period within
which to take action on the proposed
rule change so that it has sufficient time
to consider the proposed rule change.
Accordingly, pursuant to Section
19(b)(2)(A)(ii)(I) of the Act 5 and for the
reasons stated above, the Commission
designates May 5, 2020, as the date by
which the Commission shall either
approve, disapprove, or institute
proceedings to determine whether to
disapprove, the proposed rule change
(File No. SR–CboeBZX–2020–011).
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.6
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2020–06302 Filed 3–25–20; 8:45 am]
BILLING CODE 8011–01–P
lotter on DSKBCFDHB2PROD with NOTICES
March 20, 2020.
On January 22, 2020, Cboe BZX
Exchange, Inc. (‘‘BZX’’ or ‘‘Exchange’’)
filed with the Securities and Exchange
Commission (‘‘Commission’’), pursuant
5 15
U.S.C. 78s(b)(2)(A)(ii)(I).
6 17 CFR 200.30–3(a)(31).
VerDate Sep<11>2014
17:20 Mar 25, 2020
Jkt 250001
1 15
U.S.C. 78s(b)(1).
CFR 240.19b–4.
3 See Securities Exchange Act Release No. 88101
(January 30, 2020), 85 FR 6589.
4 15 U.S.C. 78s(b)(2).
5 15 U.S.C. 78s(b)(2)(A)(ii)(I).
6 17 CFR 200.30–3(a)(31).
2 17
PO 00000
Frm 00101
Fmt 4703
Sfmt 4703
17141
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–88444; File No. SR–NYSE–
2020–22]
Self-Regulatory Organizations; New
York Stock Exchange LLC; Notice of
Filing and Immediate Effectiveness of
Proposed Rule Change To Amend
Rules 7.35A, 7.35B, and 7.35C for a
Temporary Period
March 20, 2020.
Pursuant to Section 19(b)(1) 1 of the
Securities Exchange Act of 1934
(‘‘Act’’),2 and Rule 19b–4 thereunder,3
notice is hereby given that on March 20,
2020, New York Stock Exchange LLC
(‘‘NYSE’’ or ‘‘Exchange’’) filed with the
Securities and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Items I and II
below, which Items have been prepared
by the Exchange. 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
Rules 7.35A, 7.35B, and 7.35C for a
temporary period that begins March 23,
2020, and ends on the earlier of the
reopening of the Trading Floor facilities
or after the Exchange closes on May 15,
2020. 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.
1 15
U.S.C. 78s(b)(1).
U.S.C. 78a.
3 17 CFR 240.19b–4.
2 15
E:\FR\FM\26MRN1.SGM
26MRN1
17142
Federal Register / Vol. 85, No. 59 / Thursday, March 26, 2020 / Notices
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange proposes, for a
temporary period that begins March 23,
2020, when the Trading Floor facilities
will have been closed pursuant to Rule
7.1(c)(3), and ends on the earlier of the
reopening of the Trading Floor facilities
or after the Exchange closes on May 15,
2020, to:
• Suspend the current price and
volume parameters set forth in Rules
7.35A and 7.35B restricting DMMs from
effecting a Core Open, Trading Halt, or
Closing Auction;
• widen the percentage price
parameters for when a DMM may effect
a Core Open, Trading Halt, or Closing
Auction electronically to 10%;
• suspend the requirement to publish
pre-opening indications; and
• establish the Auction Collars for an
Exchange-facilitated Trading Halt
Auction following a Level 1 or Level 2
market-wide circuit breaker halt 4 at the
greater of 10% or $0.15.
Current rules already provide for
DMMs to effect Auctions electronically
without any price or volume limitations,
but only on a temporary basis for the
trading day on which the suspension
was declared. The Exchange is
proposing these changes only for the
period when the NYSE Trading Floor
has temporarily closed as a
precautionary measure to reduce the
spread of COVID–19.
The Exchange also proposes a nonsubstantive amendment to correct rule
cross references in Rule 7.35B(j)(1)(A)
and (B).
Background
lotter on DSKBCFDHB2PROD with NOTICES
NYSE Trading Floor Temporarily Closes
March 23, 2020
Since March 9, 2020, markets
worldwide are experiencing
unprecedented market-wide declines
and volatility because of the ongoing
spread of COVID–19. In the U.S. equity
markets, Level 1 MWCB Halts have been
triggered under Rule 7.12 on March 9,
2020, March 12, 2020, March 16, 2020,
and March 18, 2020.
Beginning on March 16, 2020, to slow
the spread of COVID–19 through social4 Rule 7.12 sets forth when the Exchange would
halt trading due to extraordinary trading volatility.
Under Rule 7.12, a ‘‘Level 1 Market Decline’’ means
a decline in the price of the S&P 500 Index of 7%
from the closing price of that index, and a ‘‘Level
2 Market Decline’’ means a decline in the price of
the S&P 500 Index of 13% from the closing price
of that index. If there is a Level 1 or Level 2 Market
Decline, the Exchange halts trading in all stocks for
15 minutes (a ‘‘MWCB Halt’’).
VerDate Sep<11>2014
17:20 Mar 25, 2020
Jkt 250001
distancing measures, significant
limitations were placed on large
gatherings throughout the country. For
example, in New York City, which is
where the NYSE Trading Floor is
located, public and private schools,
universities, churches, restaurants, bars,
movie theaters, and other commercial
establishments where large crowds can
gather have been closed.
On March 18, 2020, the CEO of the
Exchange made a determination under
Rule 7.1(c)(3) that beginning March 23,
2020, the Trading Floor facilities located
at 11 Wall Street in New York City
would close and the Exchange would
move, on a temporary basis, to fully
electronic trading.5 Pursuant to Rule
7.1(e), the CEO notified the Board of
Directors of the Exchange of this
determination.
Because the Trading Floor facilities
will be closed, Floor brokers will not be
able to enter orders on the Trading
Floor.6 As a result, there will not be any
Floor Broker Participants in allocations
and there will not be any order types
unique to Floor brokers, such as D
Orders.7 In addition, because DMMs
will not be on the Trading Floor, DMMs
will not engage in any manual actions,
such as facilitating an Auction manually
or publishing pre-opening indications
before a Core Open or Trading Halt
Auction. As they do today, DMMs will
be able to participate electronically both
intraday and for Auctions.
Because DMMs would not be
physically present on the Trading Floor,
DMMs would facilitate Auctions
electronically as provided for in Rules
7.35A and 7.35B. If a DMM does not
facilitate an Auction electronically
pursuant to the parameters specified in
those rules, the Exchange would
facilitate the Auction pursuant to Rule
7.35C.
5 The Exchange’s current rules establish how the
Exchange will function fully-electronically. The
CEO also closed the NYSE American Options
Trading Floor, which is located at the same 11 Wall
Street facilities, and the NYSE Arca Options
Trading Floor, which is located in San Francisco,
CA. See Press Release, dated March 18, 2020,
available here: https://ir.theice.com/press/pressreleases/all-categories/2020/03-18-2020-204202110.
6 An order entered by a Floor broker is eligible to
be included in the Floor Broker Participant for
allocation purposes only if it is entered by a Floor
broker while on the Trading Floor. See Rule
7.36(a)(5)(A).
7 The following order types are available only to
Floor brokers and would not participate when the
Exchange is trading in a fully-electronic mode:
Opening D Order (Rule 7.31(c)(1)(C)); Closing D
Order (Rule 7.31(c)(2)(C)); D Order (Rule 7.31(d)(4));
Pegged Orders (Rule 7.31(h)); Yielding Modifier
(Rule 7.31(i)(5)); and Crossing Orders (Rule 76).
PO 00000
Frm 00102
Fmt 4703
Sfmt 4703
DMM-Facilitated Core Open and
Trading Halt Auctions
Rule 7.35A(c)(1) sets forth the
circumstances when a DMM may not
effect a Core Open or Trading Halt
Auction electronically. Relevant to this
proposed rule change, a DMM cannot
electronically effect a Core Open or
Trading Halt Auction:
• If the Core Open or Trading Halt
Auction Price would be more than 4%
away from the Consolidated Last Sale
Price (See Rule 7.35A(c)(1)(G)).
• If the paired volume for that
Auction would be more than: (i) 1,500
round lots for securities with an average
opening volume of 1,000 round lots or
fewer in the previous calendar quarter;
or (ii) 5,000 round lots for securities
with an average opening volume of over
1,000 round lots in the previous
calendar quarter (See Rule
7.35A(c)(1)(H)).
Under current rules, the DMM may
effect a Core Open or Trading Halt
Auction electronically if the Auction
Price will be up to 8% away from the
Consolidated Last Sale and without any
volume limitations under the following
circumstances:
• If as of 9:00 a.m., the E-mini S&P
500 Futures are +/¥2% from the prior
day’s closing price of the E-mini S&P
500 Futures, or
• If the Exchange determines that it is
necessary or appropriate for the
maintenance of a fair and orderly
market.
In addition, if the CEO of the
Exchange or his or her designee
determines that a Floor-wide event is
likely to have an impact on the ability
of DMMs to arrange for a fair and
orderly Core Open or Trading Halt
Auction and that, absent relief, the
operation of the Exchange is likely to be
impaired, the CEO or his or her designee
can temporarily suspend the prohibition
on a DMM opening a security
electronically if the Core Open or
Trading Halt Auction Price will be more
than the price or volume parameters
specified in Rule 7.35A(c)(1)(G) and
(H).8
Publishing Pre-Opening Indications
Rule 7.35A(d) requires the DMM to
publish a pre-opening indication before
a security opens or reopens if the Core
Open or Trading Halt Auction Price is
anticipated to be a change of more than
the ‘‘Applicable Price Range,’’ as
specified in Rule 7.35A(d)(3) from the
8 See Rule 7.35A(j)(1)(A). A temporary suspension
under this Rule is in effect only for the trading day
on which it was declared and the Exchange must
inform Commission staff as promptly as practicable
of the temporary suspension.
E:\FR\FM\26MRN1.SGM
26MRN1
Federal Register / Vol. 85, No. 59 / Thursday, March 26, 2020 / Notices
‘‘Indication Reference Price,’’ as
specified in Rule 7.35A(d)(2). The
standard Applicable Price Range is 5%
for securities with an Indication
Reference Price over $3.00 and $0.15 for
securities with an Indication Reference
Price equal to or lower than $3.00.
Under current rules, the Applicable
Price Range is 10% for securities with
an Indication Reference Price over $3.00
and $0.30 for securities with an
Indication Reference Price equal to or
lower than $3.00 under the following
circumstances:
• If, as of 9:00 a.m., the E-mini S&P
500 Futures are +/¥2% from the prior
day’s closing price of the E-mini S&P
500 Futures,
• when reopening trading following a
MWCB Halt, or
• if the Exchange determines that it is
necessary or appropriate for the
maintenance of a fair and orderly
market.9
In addition, the requirement to
publish a pre-opening indication prior
to opening or reopening a security
following a MWCB Halt can be
temporarily suspended if the CEO of the
Exchange or his or designee determines
that a Floor-wide event is likely to have
an impact on the ability of DMMs to
arrange for a fair and orderly Core Open
or Trading Halt Auction and that, absent
relief, the operation of the Exchange is
likely to be impaired.10
DMM-Facilitated Closing Auctions
Rule 7.35B(c)(1) sets forth the
circumstances when a DMM may not
effect a Closing Auction electronically.
Relevant to this proposed rule change,
a DMM cannot electronically effect a
Closing Auction:
• If the Closing Auction Price will be
more than a designated percentage away
from the Exchange Last Sale Price (See
Rule 7.35B(c)(1)(G)), as follows:
Exchange last sale price
Designated
percentage
lotter on DSKBCFDHB2PROD with NOTICES
$25.00 and below .................
$25.01 to $50.00 ..................
Above $50.00 .......................
5
4
2
• If the paired volume for that
Auction would be more than 1,000
round lots for such security (See Rule
7.35B(c)(1)(H)).
Under current rules, if the CEO of the
Exchange or his or her designee
determines that a Floor-wide event is
likely to have an impact on the ability
9 See
Rule 7.35A(d)(3)(B).
Rule 7.35A(j)(1)(B). A suspension under
this Rule is in effect only for the trading day on
which it was declared and the Exchange must
notify Commission staff as promptly as practicable
of the temporary suspension.
10 See
VerDate Sep<11>2014
17:20 Mar 25, 2020
Jkt 250001
of DMMs to arrange for a fair and
orderly Closing Auction and that, absent
relief, the operation of the Exchange is
likely to be impaired, the CEO of the
Exchange or his or her designee may
temporarily suspend the prohibition on
a DMM closing a security electronically
if the Closing Auction Price would be
more than the price or volume
parameters specified in Rules
7.35B(c)(1)(G) and (H) of this Rule.11
Exchange-Facilitated Auctions
If a DMM cannot electronically
facilitate an Auction for one or more
securities in which the DMM is
registered, the Exchange will conduct
the Auction for such security or
securities, as provided for in Rule
7.35C.12 Before facilitating such an
Exchange-facilitated auction, Rule
7.35C(d) requires the Exchange to
provide the DMM with the opportunity
to electronically facilitate an Auction.13
11 See Rule 7.35B(j)(1)(A). A suspension under
this Rule is in effect only for the trading day on
which it was declared and the Exchange must
inform Commission staff as promptly as practicable
of the temporary suspension. Rule 7.35B(j)(1)(A)
and (B) cross references incorrect sub-paragraph
numbers that do not correspond to the price and
volume limitations applicable to Closing Auctions,
which are described in Rules 7.35B(c)(1)(G) and (H),
not Rules 7.35B(c)(1)(F) and (G).
12 See Rule 7.35C(a). This functionality was
introduced in 2015, and is designed to allow the
Exchange to electronically open and close securities
when a DMM is unable to do so because of business
continuity disruptions, such as the physical closing
of the Exchange Trading Floor or equipment or
connectivity breakdowns. See Securities Exchange
Act Release No. 76290 (October 28, 2015), 80 FR
67822, 67823 n.3 (November 3, 2015) (SR–NYSE–
2015–49) (Notice of filing and immediate
effectiveness of proposed rule change to specify that
Exchange systems may open one or more securities
electronically if a DMM cannot facilitate the
opening of trading). See also Securities Exchange
Act Release No. 74006 (January 6, 2015), 80 FR
1567, 1568 n.3 (January 12, 2015) (SR–NYSE–2014–
74) (Notice of filing and immediate effectiveness of
proposed rule change to specify that Exchange
systems may close one or more securities
electronically). See also Securities Exchange Act
Release No. 85962 (May 29, 2015), 84 FR 26188,
26217 (June 5, 2019) (Approval Order of Pillar
Auction Rules).
13 As the Exchange does every day when the
Trading Floor is open, the Exchange sends
electronic messages in all securities to the DMMs
to open, reopen, or close their assigned securities
at scheduled times, e.g., 9:30 a.m. for the Core Open
Auction, and the DMM’s algorithms can choose to
respond to that message within a set time period
and electronically-facilitate an Auction by selecting
the Auction Price and submitting DMM Auction
Liquidity, as defined in Rule 7.35(a)(8)(A). When
the Trading Floor is open, if a DMM’s algorithm
chooses not to respond, the DMM on the Trading
Floor will proceed to facilitate the Auction
manually. When the Trading Floor is closed, the
Exchange will continue to send such electronic
messages in all securities to the DMMs to
electronically open, reopen, or close their assigned
securities at the same scheduled times. If the DMMs
do not electronically-facilitate an Auction within a
set time period, because the DMM cannot facilitate
the Auction manually when the Trading Floor is
closed, the Exchange will facilitate such Auction.
PO 00000
Frm 00103
Fmt 4703
Sfmt 4703
17143
Unlike a DMM-facilitated Auction, an
Exchange-facilitated Auction is subject
to Auction Collars. The Auction Collar
for the Core Open and the Closing
Auction is based on a price that is
greater than $0.15 or 10% away from the
Auction Reference Price for the
applicable Auction.14 The Auction
Collar for the Trading Halt Auction is
based on a price that is the greater of
$0.15 or 5% away from the Auction
Reference Price for the Trading Halt
Auction.15 Market Orders and Limit
Orders better-priced than the Auction
Price and that were not executed in the
Exchange-facilitated Auction will be
cancelled.16
Before facilitating an Auction under
Rule 7.35C, the Exchange will provide
the DMM with the opportunity to
electronically facilitate an Auction
pursuant to Rules 7.35A or 7.35B.17 If
the Exchange facilitates an Auction,
DMM Interest does not participate and
any previously-entered DMM Interest
will be cancelled.18
The Exchange has tested the abovedescribed functionality under Rule
7.35C, most recently in an industrywide test on March 7, 2020.
Specifically, the Exchange tested a
scenario where the Trading Floor was
unavailable and DMMs electronically
facilitated Auctions in their assigned
securities electronically, and for any
Auctions not facilitated electronically
by the DMM, the Exchange facilitated
the balance of the Auctions pursuant to
Rule 7.35C. In addition, on March 19,
2020, two DMM firms implemented
their own business continuity plans and
removed staff from the Trading Floor.
For Auctions on March 19 and March
20, 2020 in the securities assigned to
those DMMs, consistent with Rule
7.35C, the Exchange provided the
DMMs with the opportunity to
electronically facilitate both the Core
Open and Closing Auctions before an
Exchange-facilitated auction under Rule
7.35C Auctions. For the 16 Core Open
Auctions and 19 Closing Auctions that
the Exchange facilitated on March 19,
2020, all interest was able to participate
within the Auction Collars and no
orders were cancelled after the
Auctions.
14 See
Rule 7.35C(b)(3)(A)(i).
Rule 7.35C(b)(3)(A)(ii).
16 See Rule 7.35C(g)(1).
17 See Rule 7.35C(d). As provided for in Rule
7.35A(c)(1)(E), a DMM cannot electronically
facilitate a Trading Halt Auction if it is a reopening
following a regulatory halt issued under Section 2
of the Listed Company Manual. Accordingly, in
such case, the Exchange would not provide the
DMM with the opportunity to reopen electronically,
and will facilitate such reopening pursuant to Rule
7.35C.
18 See Rule 7.35C(a)(1).
15 See
E:\FR\FM\26MRN1.SGM
26MRN1
17144
Federal Register / Vol. 85, No. 59 / Thursday, March 26, 2020 / Notices
lotter on DSKBCFDHB2PROD with NOTICES
Proposed Rule Change
The Exchange proposes temporary
changes to Rules 7.35A, 7.35B, and
7.35C related to DMM electronicallyfacilitated Auctions beginning March
23, 2020 and ending on the earlier of the
reopening of the Trading Floor facilities
or after the Exchange closes on May 15,
2020.19
For the Core Open and Trading Halt
Auction, the Exchange proposes to
suspend:
• The percentage price parameters in
Rule 7.35A(c)(1)(G) and (c)(2) and not
allow a DMM to effect a Core Open or
Trading Halt Auction electronically if
the Core Open or Trading Halt Auction
Price would be more than 10% away
from the Consolidated Last Sale Price; 20
• The volume parameters in Rule
7.35A(c)(1)(H); 21
• The requirement to publish a preopening indication pursuant to Rule
7.35A(d) either before a Core Open or
Trading Halt Auction.22
For the Closing Auction, the Exchange
proposes to suspend:
• The percentage price parameters in
Rule 7.35B(c)(1)(G) and not allow a
DMM to effect a Closing Auction
electronically if the Closing Auction
Price would be more than 10% away
from the Exchange Last Sale Price.23
• The volume requirements in Rule
7.35B(c)(1)(H).24
The Exchange believes that these
proposed measures are consistent with
our current rules, as described above.
Pursuant to either Rule 7.35A(j)(1) or
7.35B(j)(1), the CEO of the Exchange or
his or her designee can determine to
take one or more of the above actions for
the trading day on which it is declared.
The Exchange believes that closing the
Trading Floor, combined with the
current high volatility in the markets,
would otherwise warrant invoking such
temporary relief. Specifically, the
Exchange believes that by eliminating
volume restrictions and widening the
percentage parameters for all Auctions
19 If the Trading Floor remains closed past May
15, 2020, the Exchange will file a separate proposed
rule change to extend the relief.
20 See proposed Commentary .01(a) to Rule
7.35A. During this period, the Exchange could still
determine to invoke temporary relief under Rule
7.35A(j)(1) to further widen the percentage
parameters for a trading day for which the relief is
declared.
21 See proposed Commentary .01(b) to Rule
7.35A.
22 See proposed Commentary .01(c) to Rule
7.35A.
23 See proposed Commentary .01(a) to Rule 7.35B.
During this period, the Exchange could still
determine to invoke temporary relief under Rule
7.35B(j)(1) to further widen the percentage
parameters for a trading day for which the relief is
declared.
24 See proposed Commentary .01(b) to Rule 7.35B.
VerDate Sep<11>2014
17:20 Mar 25, 2020
Jkt 250001
to 10% during the this temporary period
when the Trading Floor is closed,
DMMs would be able to facilitate more
Auctions electronically and enter their
own interest to participate in such
Auctions, reducing the need for the
Exchange to facilitate Auctions, which
would not include DMM interest.
Similarly, because it will not be feasible
for DMMs to publish pre-opening
indications, which is a Floor-based
manual action, during this temporary
period when the Trading Floor is
closed, the Exchange believes it would
promote clarity and transparency in
Exchange rules to specify that the
requirement to publish such indications
would be suspended.
The Exchange believes that it would
promote clarity and transparency for
DMMs, the Commission and the public
to specify in Commentary to both Rule
7.35A and 7.35B the price and volume
parameters that would be applicable to
when a DMM could facilitate an
Auction electronically during this
temporary period of time.
In addition to amending Rules 7.35A
and 7.35B, the Exchange proposes to
amend Rule 7.35C to provide that, the
Auction Collar for a Trading Halt
Auction following either a Level 1 or
Level 2 MWCB Halt would be the
greater of $0.15 or 10% away from the
Auction Reference Price.25 The
Exchange recently filed a separate
proposed rule change to widen, until
May 15, 2020, the Auction Collars for
such Exchange-facilitated Auctions in
the same manner if a security was not
reopened by a DMM following a MWCB
Halt by 3:30 p.m.26 With the Trading
Floor closed, the Exchange could
potentially facilitate a Trading Halt
Auction following a MWCB Halt before
3:30 p.m. Therefore, the Exchange
proposes to extend the widened Auction
Collars to any Exchange-facilitated
MWCB Halt reopenings, regardless of
time of day.
The Exchange also proposes to amend
current Commentary .01, which was
added in the MWCB Reopen Filing, and
renumber it Commentary .02. Because
the relief described in the MWCB
Reopen Filing is moot during the
temporary period when the Trading
Floor is closed, the Exchange proposes
to amend when that Commentary would
be applicable to provide that it would be
in effect if the Trading Floor facilities
reopen through trading on May 15,
2020. The Exchange also proposes non25 See
proposed Commentary .01(a) to Rule 7.35C
Securities Exchange Act Release No. 88413
(March 18, 2020) (SR–NYSE–2020–19) (Notice of
filing and immediate effectiveness of proposed rule
change) (‘‘MWCB Reopen Filing’’).
26 See
PO 00000
Frm 00104
Fmt 4703
Sfmt 4703
substantive amendments to this
Commentary to move a defined term to
proposed Commentary .01(a) to Rule
7.35C.
Finally, the Exchange also proposes a
non-substantive amendment to correct
rule cross references in Rule
7.35B(j)(1)(A) and (B), which currently
cross reference Rules 7.35B(c)(1)(F) and
(G). As noted above, these rule cross
references should be Rules
7.35B(c)(1)(G) and (H), which
correspond to the price and volume
parameters applicable to Closing
Auctions.
As noted above, the Exchange has
previously tested Exchange-facilitated
Auctions when the Trading Floor is
closed, and has implemented them in
production beginning on March 19,
2020. The Exchange proposes to test the
changes described above in an industry
test scheduled for Saturday, March 21,
2020, before the Trading Floor closes on
March 23, 2020.
The Exchange would be able to
implement the proposed rule change
immediately upon effectiveness of this
proposed rule change.
2. Statutory Basis
The proposed rule change is
consistent with Section 6(b) of the
Act,27 in general, and furthers the
objectives of Section 6(b)(5) of the Act,28
in particular, in that 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, and to remove
impediments to and perfect the
mechanism of a free and open market
and a national market system.
As a result of uncertainty related to
the ongoing spread of COVID–19, the
U.S. equities markets are experiencing
unprecedented market volatility. In
addition, social-distancing measures
have been implemented throughout the
country, including in New York City, to
reduce the spread of COVID–19.
Directly related to such socialdistancing measures, the CEO of the
Exchange made a determination under
Rule 7.1(c)(3) that beginning March 23,
2020, the Trading Floor facilities located
at 11 Wall Street in New York City
would close and the Exchange would
move, on a temporary basis, to fully
electronic trading.
The Exchange believes that the
proposed rule change would remove
impediments to and perfect the
mechanism of a free and open market
27 15
28 15
E:\FR\FM\26MRN1.SGM
U.S.C. 78f(b).
U.S.C. 78f(b)(5).
26MRN1
Federal Register / Vol. 85, No. 59 / Thursday, March 26, 2020 / Notices
and a national market system because it
would promote fair and orderly
Auctions on the Exchange by allowing
DMMs to open, reopen, or close more
securities electronically. Since March 9,
2020, the Exchange has been
implementing the proposed relief under
current Rules on a day-by-day basis.
Accordingly, the Exchange believes that
the changes that would be described in
the proposed Commentary to Rules
7.35A and 7.35B are consistent with our
current rules.
The Exchange believes that by clearly
stating that this relief will be in effect
through the earlier of the reopening of
the Trading Floor facilities or the close
of the Exchange on May 15, 2020,
DMMs will have more certainty
regarding what limitations would be
applicable during this period when they
are unable to manually facilitate
Auctions. Because they would no longer
need to respond to relief that is invoked
on a same-day basis, DMMs would be
able to better manage their Auction
processes, which the Exchange believes
would remove impediments to and
perfect the mechanism of a free and
open market and a national market
system.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Exchange does not believe that
the proposed rule change would impose
any burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act. The
proposed rule change is not designed to
address any competitive issues but
rather is designed to ensure fair and
orderly Auctions on the Exchange by
allowing DMMs to open, reopen, or
close more securities electronically
during a temporary period when the
Exchange Trading Floor has been closed
in response to social-distancing
measures designed to reduce the spread
of the COVID–19 virus.
lotter on DSKBCFDHB2PROD with NOTICES
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
The Exchange has filed the proposed
rule change pursuant to Section
19(b)(3)(A)(iii) of the Act 29 and Rule
19b–4(f)(6) thereunder.30 Because the
29 15
30 17
U.S.C. 78s(b)(3)(A)(iii).
CFR 240.19b–4(f)(6).
VerDate Sep<11>2014
17:20 Mar 25, 2020
Jkt 250001
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, if
consistent with the protection of
investors and the public interest, the
proposed rule change has become
effective pursuant to Section 19(b)(3)(A)
of the Act 31 and Rule 19b–4(f)(6)
thereunder.32
A proposed rule change filed under
Rule 19b–4(f)(6) 33 normally does not
become operative for 30 days after the
date of the filing. However, pursuant to
Rule 19b–4(f)(6)(iii),34 the Commission
may 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 proposed rule change may become
operative immediately. The Exchange
represents that the proposed rule change
is designed to ensure fair and orderly
Auctions on the Exchange by allowing
DMMs to open, reopen, or close more
securities electronically during a
temporary period when the Exchange
Trading Floor has been closed in
response to social-distancing measures
designed to reduce the spread of the
COVID–19 virus. The Exchange also
believes that the proposed changes are
consistent with the type of relief that the
Exchange can invoke on a temporary
basis pursuant to Rules 7.35A(j)(1) and
7.35B(j)(2). According to the Exchange,
the relief being requested has already
been implemented on a day-by-day
basis to respond to the ongoing market
volatility that the markets have
experienced since March 9, 2020,
meaning that the proposed relief is
consistent with relief already available
under Exchange rules. In the Exchange’s
view, implementing the proposed rule
change would eliminate the need to
invoke these measures on a daily basis,
and would provide advance notice and
greater certainty to DMMs regarding
what parameters would be applicable to
whether they can facilitate an Auction
electronically during the temporary
31 15
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(6). In addition, Rule 19b–
4(f)(6)(iii) requires the Exchange to give the
Commission written notice of the Exchange’s intent
to file the proposed rule change, along with a brief
description and 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. The Commission
has waived that requirement for this proposed rule
change.
33 17 CFR 240.19b–4(f)(6).
34 17 CFR 240.19b–4(f)(6)(iii).
32 17
PO 00000
Frm 00105
Fmt 4703
Sfmt 4703
17145
period when the Trading Floor is
closed. The Exchange states that it is
able to implement these proposed rule
changes immediately, that it will have
tested such measures on March 21,
2020, and that waiver of the 30-day
operative delay would provide the
DMMs with greater ability to facilitate
Auctions electronically during the
temporary period when the Trading
Floor is closed. The Commission notes
that since March 9, 2020, the Exchange
has been implementing the proposed
relief under current Exchange rules on
a day-by-day basis. The Commission
also notes that by clearly stating that
this relief will be in effect through the
earlier of the reopening of the Trading
Floor facilities or the close of the
Exchange on May 15, 2020, DMMs will
have more certainty regarding what
limitations would be applicable during
this period when they are unable to
manually facilitate Auctions, and thus
should able to better manage their
Auction processes. Finally, The
Commission notes that the proposal is a
temporary measure designed to respond
to current, unprecedented market
conditions. For these reasons, the
Commission believes that waiver of the
30-day operative delay is consistent
with the protection of investors and the
public interest. Accordingly, the
Commission hereby waives the 30-day
operative delay and designates the
proposal operative upon filing.35
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.
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
35 For purposes only of waiving the 30-day
operative delay, the Commission has considered the
proposed rule’s impact on efficiency, competition,
and capital formation. See 15 U.S.C. 78c(f).
E:\FR\FM\26MRN1.SGM
26MRN1
17146
Federal Register / Vol. 85, No. 59 / Thursday, March 26, 2020 / Notices
• Send an email to rule-comments@
sec.gov. Please include File Number SR–
NYSE–2020–22 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–2020–22. 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–2020–22, and
should be submitted on or before April
16, 2020.36
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2020–06290 Filed 3–25–20; 8:45 am]
lotter on DSKBCFDHB2PROD with NOTICES
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–88460; File No. SR–Phlx–
2020–10]
Self-Regulatory Organizations; Nasdaq
PHLX LLC; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Amend Options 4A,
Section 12, Terms of Option Contracts
March 23, 2020.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’),1 and Rule 19b–4 thereunder,2
notice is hereby given that on March 18,
2020, Nasdaq PHLX LLC (‘‘Phlx’’ or
‘‘Exchange’’) filed with the Securities
and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Items I and II
below, which Items have been prepared
by the Exchange. 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
Options 4A, Section 12, Terms of
Option Contracts.
The text of the proposed rule change
is available on the Exchange’s website at
https://nasdaqphlx.cchwallstreet.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
Exchange 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 these
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 aspects of such
statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange proposes to amend
Options 4A, Section 12, Terms of
Option Contracts. Specifically, the
Exchange proposes to amend Options
1 15
36 17
CFR 200.30–3(a)(12), (59).
VerDate Sep<11>2014
17:20 Mar 25, 2020
2 17
Jkt 250001
PO 00000
U.S.C. 78s(b)(1).
CFR 240.19b–4.
Frm 00106
Fmt 4703
Sfmt 4703
4A, Section 12(b) and (b)(2) to change
the number of expirations that the
Exchange may open for trading in series
of options related to Long-Term Options
Series of index options. The Exchange
also proposes to change the title of
Options 4A, Section 12 from ‘‘Terms of
Option Contracts’’ to ‘‘Terms of Index
Options Contracts.’’
Long-Term Options Series
The current rule text provides within
Phlx Options 4A, Section 12(b):
After a particular class of stock index
options has been approved for listing and
trading on the Exchange, the Exchange shall
from time to time open for trading series of
options therein. Within each approved class
of stock index options, the Exchange shall
open for trading a minimum of one
expiration month and series for each class of
approved stock index options and may also
open for trading series of options having not
less than nine and up to 60 months to
expiration (long-term options series) as
provided in subparagraph (b)(2). Prior to the
opening of trading in any series of stock
index options, the Exchange shall fix the
expiration month and exercise price of
option contracts included in each such
series.
The Exchange proposes to also amend
the current text of Phlx Options 4A,
Section 12(b)(2) which states the below
with respect to Long-term 3 Option
Series:
The Exchange may list, with respect to any
class of stock index options, series of options
having not less than nine and up to 60
months to expiration, adding up to ten
expiration months. Such series of options
may be opened for trading simultaneously
with series of options trading pursuant to this
rule. Strike price interval, bid/ask differential
and continuity rules shall not apply to such
options series until the time to expiration is
less than nine months.
Similar, in part, to Cboe Exchange, Inc.
(‘‘Cboe’’) Rule 4.13(b),4 the Exchange
proposes to amend the current rule text
to provide ‘‘the Exchange shall open for
trading a minimum of one expiration
month and series for each class of
approved stock index options and may
also open for trading series of options
having not less than twelve and up to
60 months to expiration (long-term
options series) within Options 4A,
Section 12(b) and, similarly, within
Options 4A, Section 12(b)(2) amend the
language to provide, ‘‘[t]he Exchange
may list, with respect to any class of
stock index options, series of options
3 The Exchange proposes to amend this title to
capitalize ‘‘Term.’’
4 Cboe Rule 4.13(b) provide for Long-Term Index
Option Series, ‘‘Notwithstanding the provisions of
subparagraph (a)(2) above, the Exchange may list
long-term index option series that expire from 12
to 180 months from the date of issuance.’’
E:\FR\FM\26MRN1.SGM
26MRN1
]]>Agencies
[Federal Register Volume 85, Number 59 (Thursday, March 26, 2020)]
[Notices]
[Pages 17141-17146]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-06290]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-88444; File No. SR-NYSE-2020-22]
Self-Regulatory Organizations; New York Stock Exchange LLC;
Notice of Filing and Immediate Effectiveness of Proposed Rule Change To
Amend Rules 7.35A, 7.35B, and 7.35C for a Temporary Period
March 20, 2020.
Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of
1934 (``Act''),\2\ and Rule 19b-4 thereunder,\3\ notice is hereby given
that on March 20, 2020, New York Stock Exchange LLC (``NYSE'' or
``Exchange'') filed with the Securities and Exchange Commission
(``Commission'') the proposed rule change as described in Items I and
II below, which Items have been prepared by the Exchange. 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 Rules 7.35A, 7.35B, and 7.35C for a
temporary period that begins March 23, 2020, and ends on the earlier of
the reopening of the Trading Floor facilities or after the Exchange
closes on May 15, 2020. 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.
[[Page 17142]]
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes, for a temporary period that begins March 23,
2020, when the Trading Floor facilities will have been closed pursuant
to Rule 7.1(c)(3), and ends on the earlier of the reopening of the
Trading Floor facilities or after the Exchange closes on May 15, 2020,
to:
Suspend the current price and volume parameters set forth
in Rules 7.35A and 7.35B restricting DMMs from effecting a Core Open,
Trading Halt, or Closing Auction;
widen the percentage price parameters for when a DMM may
effect a Core Open, Trading Halt, or Closing Auction electronically to
10%;
suspend the requirement to publish pre-opening
indications; and
establish the Auction Collars for an Exchange-facilitated
Trading Halt Auction following a Level 1 or Level 2 market-wide circuit
breaker halt \4\ at the greater of 10% or $0.15.
---------------------------------------------------------------------------
\4\ Rule 7.12 sets forth when the Exchange would halt trading
due to extraordinary trading volatility. Under Rule 7.12, a ``Level
1 Market Decline'' means a decline in the price of the S&P 500 Index
of 7% from the closing price of that index, and a ``Level 2 Market
Decline'' means a decline in the price of the S&P 500 Index of 13%
from the closing price of that index. If there is a Level 1 or Level
2 Market Decline, the Exchange halts trading in all stocks for 15
minutes (a ``MWCB Halt'').
---------------------------------------------------------------------------
Current rules already provide for DMMs to effect Auctions
electronically without any price or volume limitations, but only on a
temporary basis for the trading day on which the suspension was
declared. The Exchange is proposing these changes only for the period
when the NYSE Trading Floor has temporarily closed as a precautionary
measure to reduce the spread of COVID-19.
The Exchange also proposes a non-substantive amendment to correct
rule cross references in Rule 7.35B(j)(1)(A) and (B).
Background
NYSE Trading Floor Temporarily Closes March 23, 2020
Since March 9, 2020, markets worldwide are experiencing
unprecedented market-wide declines and volatility because of the
ongoing spread of COVID-19. In the U.S. equity markets, Level 1 MWCB
Halts have been triggered under Rule 7.12 on March 9, 2020, March 12,
2020, March 16, 2020, and March 18, 2020.
Beginning on March 16, 2020, to slow the spread of COVID-19 through
social-distancing measures, significant limitations were placed on
large gatherings throughout the country. For example, in New York City,
which is where the NYSE Trading Floor is located, public and private
schools, universities, churches, restaurants, bars, movie theaters, and
other commercial establishments where large crowds can gather have been
closed.
On March 18, 2020, the CEO of the Exchange made a determination
under Rule 7.1(c)(3) that beginning March 23, 2020, the Trading Floor
facilities located at 11 Wall Street in New York City would close and
the Exchange would move, on a temporary basis, to fully electronic
trading.\5\ Pursuant to Rule 7.1(e), the CEO notified the Board of
Directors of the Exchange of this determination.
---------------------------------------------------------------------------
\5\ The Exchange's current rules establish how the Exchange will
function fully-electronically. The CEO also closed the NYSE American
Options Trading Floor, which is located at the same 11 Wall Street
facilities, and the NYSE Arca Options Trading Floor, which is
located in San Francisco, CA. See Press Release, dated March 18,
2020, available here: https://ir.theice.com/press/press-releases/all-categories/2020/03-18-2020-204202110.
---------------------------------------------------------------------------
Because the Trading Floor facilities will be closed, Floor brokers
will not be able to enter orders on the Trading Floor.\6\ As a result,
there will not be any Floor Broker Participants in allocations and
there will not be any order types unique to Floor brokers, such as D
Orders.\7\ In addition, because DMMs will not be on the Trading Floor,
DMMs will not engage in any manual actions, such as facilitating an
Auction manually or publishing pre-opening indications before a Core
Open or Trading Halt Auction. As they do today, DMMs will be able to
participate electronically both intraday and for Auctions.
---------------------------------------------------------------------------
\6\ An order entered by a Floor broker is eligible to be
included in the Floor Broker Participant for allocation purposes
only if it is entered by a Floor broker while on the Trading Floor.
See Rule 7.36(a)(5)(A).
\7\ The following order types are available only to Floor
brokers and would not participate when the Exchange is trading in a
fully-electronic mode: Opening D Order (Rule 7.31(c)(1)(C)); Closing
D Order (Rule 7.31(c)(2)(C)); D Order (Rule 7.31(d)(4)); Pegged
Orders (Rule 7.31(h)); Yielding Modifier (Rule 7.31(i)(5)); and
Crossing Orders (Rule 76).
---------------------------------------------------------------------------
Because DMMs would not be physically present on the Trading Floor,
DMMs would facilitate Auctions electronically as provided for in Rules
7.35A and 7.35B. If a DMM does not facilitate an Auction electronically
pursuant to the parameters specified in those rules, the Exchange would
facilitate the Auction pursuant to Rule 7.35C.
DMM-Facilitated Core Open and Trading Halt Auctions
Rule 7.35A(c)(1) sets forth the circumstances when a DMM may not
effect a Core Open or Trading Halt Auction electronically. Relevant to
this proposed rule change, a DMM cannot electronically effect a Core
Open or Trading Halt Auction:
If the Core Open or Trading Halt Auction Price would be
more than 4% away from the Consolidated Last Sale Price (See Rule
7.35A(c)(1)(G)).
If the paired volume for that Auction would be more than:
(i) 1,500 round lots for securities with an average opening volume of
1,000 round lots or fewer in the previous calendar quarter; or (ii)
5,000 round lots for securities with an average opening volume of over
1,000 round lots in the previous calendar quarter (See Rule
7.35A(c)(1)(H)).
Under current rules, the DMM may effect a Core Open or Trading Halt
Auction electronically if the Auction Price will be up to 8% away from
the Consolidated Last Sale and without any volume limitations under the
following circumstances:
If as of 9:00 a.m., the E-mini S&P 500 Futures are +/-2%
from the prior day's closing price of the E-mini S&P 500 Futures, or
If the Exchange determines that it is necessary or
appropriate for the maintenance of a fair and orderly market.
In addition, if the CEO of the Exchange or his or her designee
determines that a Floor-wide event is likely to have an impact on the
ability of DMMs to arrange for a fair and orderly Core Open or Trading
Halt Auction and that, absent relief, the operation of the Exchange is
likely to be impaired, the CEO or his or her designee can temporarily
suspend the prohibition on a DMM opening a security electronically if
the Core Open or Trading Halt Auction Price will be more than the price
or volume parameters specified in Rule 7.35A(c)(1)(G) and (H).\8\
---------------------------------------------------------------------------
\8\ See Rule 7.35A(j)(1)(A). A temporary suspension under this
Rule is in effect only for the trading day on which it was declared
and the Exchange must inform Commission staff as promptly as
practicable of the temporary suspension.
---------------------------------------------------------------------------
Publishing Pre-Opening Indications
Rule 7.35A(d) requires the DMM to publish a pre-opening indication
before a security opens or reopens if the Core Open or Trading Halt
Auction Price is anticipated to be a change of more than the
``Applicable Price Range,'' as specified in Rule 7.35A(d)(3) from the
[[Page 17143]]
``Indication Reference Price,'' as specified in Rule 7.35A(d)(2). The
standard Applicable Price Range is 5% for securities with an Indication
Reference Price over $3.00 and $0.15 for securities with an Indication
Reference Price equal to or lower than $3.00.
Under current rules, the Applicable Price Range is 10% for
securities with an Indication Reference Price over $3.00 and $0.30 for
securities with an Indication Reference Price equal to or lower than
$3.00 under the following circumstances:
If, as of 9:00 a.m., the E-mini S&P 500 Futures are +/-2%
from the prior day's closing price of the E-mini S&P 500 Futures,
when reopening trading following a MWCB Halt, or
if the Exchange determines that it is necessary or
appropriate for the maintenance of a fair and orderly market.\9\
---------------------------------------------------------------------------
\9\ See Rule 7.35A(d)(3)(B).
---------------------------------------------------------------------------
In addition, the requirement to publish a pre-opening indication
prior to opening or reopening a security following a MWCB Halt can be
temporarily suspended if the CEO of the Exchange or his or designee
determines that a Floor-wide event is likely to have an impact on the
ability of DMMs to arrange for a fair and orderly Core Open or Trading
Halt Auction and that, absent relief, the operation of the Exchange is
likely to be impaired.\10\
---------------------------------------------------------------------------
\10\ See Rule 7.35A(j)(1)(B). A suspension under this Rule is in
effect only for the trading day on which it was declared and the
Exchange must notify Commission staff as promptly as practicable of
the temporary suspension.
---------------------------------------------------------------------------
DMM-Facilitated Closing Auctions
Rule 7.35B(c)(1) sets forth the circumstances when a DMM may not
effect a Closing Auction electronically. Relevant to this proposed rule
change, a DMM cannot electronically effect a Closing Auction:
If the Closing Auction Price will be more than a
designated percentage away from the Exchange Last Sale Price (See Rule
7.35B(c)(1)(G)), as follows:
------------------------------------------------------------------------
Designated
Exchange last sale price percentage
------------------------------------------------------------------------
$25.00 and below........................................ 5
$25.01 to $50.00........................................ 4
Above $50.00............................................ 2
------------------------------------------------------------------------
If the paired volume for that Auction would be more than
1,000 round lots for such security (See Rule 7.35B(c)(1)(H)).
Under current rules, if the CEO of the Exchange or his or her
designee determines that a Floor-wide event is likely to have an impact
on the ability of DMMs to arrange for a fair and orderly Closing
Auction and that, absent relief, the operation of the Exchange is
likely to be impaired, the CEO of the Exchange or his or her designee
may temporarily suspend the prohibition on a DMM closing a security
electronically if the Closing Auction Price would be more than the
price or volume parameters specified in Rules 7.35B(c)(1)(G) and (H) of
this Rule.\11\
---------------------------------------------------------------------------
\11\ See Rule 7.35B(j)(1)(A). A suspension under this Rule is in
effect only for the trading day on which it was declared and the
Exchange must inform Commission staff as promptly as practicable of
the temporary suspension. Rule 7.35B(j)(1)(A) and (B) cross
references incorrect sub-paragraph numbers that do not correspond to
the price and volume limitations applicable to Closing Auctions,
which are described in Rules 7.35B(c)(1)(G) and (H), not Rules
7.35B(c)(1)(F) and (G).
---------------------------------------------------------------------------
Exchange-Facilitated Auctions
If a DMM cannot electronically facilitate an Auction for one or
more securities in which the DMM is registered, the Exchange will
conduct the Auction for such security or securities, as provided for in
Rule 7.35C.\12\ Before facilitating such an Exchange-facilitated
auction, Rule 7.35C(d) requires the Exchange to provide the DMM with
the opportunity to electronically facilitate an Auction.\13\
---------------------------------------------------------------------------
\12\ See Rule 7.35C(a). This functionality was introduced in
2015, and is designed to allow the Exchange to electronically open
and close securities when a DMM is unable to do so because of
business continuity disruptions, such as the physical closing of the
Exchange Trading Floor or equipment or connectivity breakdowns. See
Securities Exchange Act Release No. 76290 (October 28, 2015), 80 FR
67822, 67823 n.3 (November 3, 2015) (SR-NYSE-2015-49) (Notice of
filing and immediate effectiveness of proposed rule change to
specify that Exchange systems may open one or more securities
electronically if a DMM cannot facilitate the opening of trading).
See also Securities Exchange Act Release No. 74006 (January 6,
2015), 80 FR 1567, 1568 n.3 (January 12, 2015) (SR-NYSE-2014-74)
(Notice of filing and immediate effectiveness of proposed rule
change to specify that Exchange systems may close one or more
securities electronically). See also Securities Exchange Act Release
No. 85962 (May 29, 2015), 84 FR 26188, 26217 (June 5, 2019)
(Approval Order of Pillar Auction Rules).
\13\ As the Exchange does every day when the Trading Floor is
open, the Exchange sends electronic messages in all securities to
the DMMs to open, reopen, or close their assigned securities at
scheduled times, e.g., 9:30 a.m. for the Core Open Auction, and the
DMM's algorithms can choose to respond to that message within a set
time period and electronically-facilitate an Auction by selecting
the Auction Price and submitting DMM Auction Liquidity, as defined
in Rule 7.35(a)(8)(A). When the Trading Floor is open, if a DMM's
algorithm chooses not to respond, the DMM on the Trading Floor will
proceed to facilitate the Auction manually. When the Trading Floor
is closed, the Exchange will continue to send such electronic
messages in all securities to the DMMs to electronically open,
reopen, or close their assigned securities at the same scheduled
times. If the DMMs do not electronically-facilitate an Auction
within a set time period, because the DMM cannot facilitate the
Auction manually when the Trading Floor is closed, the Exchange will
facilitate such Auction.
---------------------------------------------------------------------------
Unlike a DMM-facilitated Auction, an Exchange-facilitated Auction
is subject to Auction Collars. The Auction Collar for the Core Open and
the Closing Auction is based on a price that is greater than $0.15 or
10% away from the Auction Reference Price for the applicable
Auction.\14\ The Auction Collar for the Trading Halt Auction is based
on a price that is the greater of $0.15 or 5% away from the Auction
Reference Price for the Trading Halt Auction.\15\ Market Orders and
Limit Orders better-priced than the Auction Price and that were not
executed in the Exchange-facilitated Auction will be cancelled.\16\
---------------------------------------------------------------------------
\14\ See Rule 7.35C(b)(3)(A)(i).
\15\ See Rule 7.35C(b)(3)(A)(ii).
\16\ See Rule 7.35C(g)(1).
---------------------------------------------------------------------------
Before facilitating an Auction under Rule 7.35C, the Exchange will
provide the DMM with the opportunity to electronically facilitate an
Auction pursuant to Rules 7.35A or 7.35B.\17\ If the Exchange
facilitates an Auction, DMM Interest does not participate and any
previously-entered DMM Interest will be cancelled.\18\
---------------------------------------------------------------------------
\17\ See Rule 7.35C(d). As provided for in Rule 7.35A(c)(1)(E),
a DMM cannot electronically facilitate a Trading Halt Auction if it
is a reopening following a regulatory halt issued under Section 2 of
the Listed Company Manual. Accordingly, in such case, the Exchange
would not provide the DMM with the opportunity to reopen
electronically, and will facilitate such reopening pursuant to Rule
7.35C.
\18\ See Rule 7.35C(a)(1).
---------------------------------------------------------------------------
The Exchange has tested the above-described functionality under
Rule 7.35C, most recently in an industry-wide test on March 7, 2020.
Specifically, the Exchange tested a scenario where the Trading Floor
was unavailable and DMMs electronically facilitated Auctions in their
assigned securities electronically, and for any Auctions not
facilitated electronically by the DMM, the Exchange facilitated the
balance of the Auctions pursuant to Rule 7.35C. In addition, on March
19, 2020, two DMM firms implemented their own business continuity plans
and removed staff from the Trading Floor. For Auctions on March 19 and
March 20, 2020 in the securities assigned to those DMMs, consistent
with Rule 7.35C, the Exchange provided the DMMs with the opportunity to
electronically facilitate both the Core Open and Closing Auctions
before an Exchange-facilitated auction under Rule 7.35C Auctions. For
the 16 Core Open Auctions and 19 Closing Auctions that the Exchange
facilitated on March 19, 2020, all interest was able to participate
within the Auction Collars and no orders were cancelled after the
Auctions.
[[Page 17144]]
Proposed Rule Change
The Exchange proposes temporary changes to Rules 7.35A, 7.35B, and
7.35C related to DMM electronically- facilitated Auctions beginning
March 23, 2020 and ending on the earlier of the reopening of the
Trading Floor facilities or after the Exchange closes on May 15,
2020.\19\
---------------------------------------------------------------------------
\19\ If the Trading Floor remains closed past May 15, 2020, the
Exchange will file a separate proposed rule change to extend the
relief.
---------------------------------------------------------------------------
For the Core Open and Trading Halt Auction, the Exchange proposes
to suspend:
The percentage price parameters in Rule 7.35A(c)(1)(G) and
(c)(2) and not allow a DMM to effect a Core Open or Trading Halt
Auction electronically if the Core Open or Trading Halt Auction Price
would be more than 10% away from the Consolidated Last Sale Price; \20\
---------------------------------------------------------------------------
\20\ See proposed Commentary .01(a) to Rule 7.35A. During this
period, the Exchange could still determine to invoke temporary
relief under Rule 7.35A(j)(1) to further widen the percentage
parameters for a trading day for which the relief is declared.
---------------------------------------------------------------------------
The volume parameters in Rule 7.35A(c)(1)(H); \21\
---------------------------------------------------------------------------
\21\ See proposed Commentary .01(b) to Rule 7.35A.
---------------------------------------------------------------------------
The requirement to publish a pre-opening indication
pursuant to Rule 7.35A(d) either before a Core Open or Trading Halt
Auction.\22\
---------------------------------------------------------------------------
\22\ See proposed Commentary .01(c) to Rule 7.35A.
---------------------------------------------------------------------------
For the Closing Auction, the Exchange proposes to suspend:
The percentage price parameters in Rule 7.35B(c)(1)(G) and
not allow a DMM to effect a Closing Auction electronically if the
Closing Auction Price would be more than 10% away from the Exchange
Last Sale Price.\23\
---------------------------------------------------------------------------
\23\ See proposed Commentary .01(a) to Rule 7.35B. During this
period, the Exchange could still determine to invoke temporary
relief under Rule 7.35B(j)(1) to further widen the percentage
parameters for a trading day for which the relief is declared.
---------------------------------------------------------------------------
The volume requirements in Rule 7.35B(c)(1)(H).\24\
---------------------------------------------------------------------------
\24\ See proposed Commentary .01(b) to Rule 7.35B.
---------------------------------------------------------------------------
The Exchange believes that these proposed measures are consistent
with our current rules, as described above. Pursuant to either Rule
7.35A(j)(1) or 7.35B(j)(1), the CEO of the Exchange or his or her
designee can determine to take one or more of the above actions for the
trading day on which it is declared. The Exchange believes that closing
the Trading Floor, combined with the current high volatility in the
markets, would otherwise warrant invoking such temporary relief.
Specifically, the Exchange believes that by eliminating volume
restrictions and widening the percentage parameters for all Auctions to
10% during the this temporary period when the Trading Floor is closed,
DMMs would be able to facilitate more Auctions electronically and enter
their own interest to participate in such Auctions, reducing the need
for the Exchange to facilitate Auctions, which would not include DMM
interest. Similarly, because it will not be feasible for DMMs to
publish pre-opening indications, which is a Floor-based manual action,
during this temporary period when the Trading Floor is closed, the
Exchange believes it would promote clarity and transparency in Exchange
rules to specify that the requirement to publish such indications would
be suspended.
The Exchange believes that it would promote clarity and
transparency for DMMs, the Commission and the public to specify in
Commentary to both Rule 7.35A and 7.35B the price and volume parameters
that would be applicable to when a DMM could facilitate an Auction
electronically during this temporary period of time.
In addition to amending Rules 7.35A and 7.35B, the Exchange
proposes to amend Rule 7.35C to provide that, the Auction Collar for a
Trading Halt Auction following either a Level 1 or Level 2 MWCB Halt
would be the greater of $0.15 or 10% away from the Auction Reference
Price.\25\ The Exchange recently filed a separate proposed rule change
to widen, until May 15, 2020, the Auction Collars for such Exchange-
facilitated Auctions in the same manner if a security was not reopened
by a DMM following a MWCB Halt by 3:30 p.m.\26\ With the Trading Floor
closed, the Exchange could potentially facilitate a Trading Halt
Auction following a MWCB Halt before 3:30 p.m. Therefore, the Exchange
proposes to extend the widened Auction Collars to any Exchange-
facilitated MWCB Halt reopenings, regardless of time of day.
---------------------------------------------------------------------------
\25\ See proposed Commentary .01(a) to Rule 7.35C
\26\ See Securities Exchange Act Release No. 88413 (March 18,
2020) (SR-NYSE-2020-19) (Notice of filing and immediate
effectiveness of proposed rule change) (``MWCB Reopen Filing'').
---------------------------------------------------------------------------
The Exchange also proposes to amend current Commentary .01, which
was added in the MWCB Reopen Filing, and renumber it Commentary .02.
Because the relief described in the MWCB Reopen Filing is moot during
the temporary period when the Trading Floor is closed, the Exchange
proposes to amend when that Commentary would be applicable to provide
that it would be in effect if the Trading Floor facilities reopen
through trading on May 15, 2020. The Exchange also proposes non-
substantive amendments to this Commentary to move a defined term to
proposed Commentary .01(a) to Rule 7.35C.
Finally, the Exchange also proposes a non-substantive amendment to
correct rule cross references in Rule 7.35B(j)(1)(A) and (B), which
currently cross reference Rules 7.35B(c)(1)(F) and (G). As noted above,
these rule cross references should be Rules 7.35B(c)(1)(G) and (H),
which correspond to the price and volume parameters applicable to
Closing Auctions.
As noted above, the Exchange has previously tested Exchange-
facilitated Auctions when the Trading Floor is closed, and has
implemented them in production beginning on March 19, 2020. The
Exchange proposes to test the changes described above in an industry
test scheduled for Saturday, March 21, 2020, before the Trading Floor
closes on March 23, 2020.
The Exchange would be able to implement the proposed rule change
immediately upon effectiveness of this proposed rule change.
2. Statutory Basis
The proposed rule change is consistent with Section 6(b) of the
Act,\27\ in general, and furthers the objectives of Section 6(b)(5) of
the Act,\28\ in particular, in that 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, and to
remove impediments to and perfect the mechanism of a free and open
market and a national market system.
---------------------------------------------------------------------------
\27\ 15 U.S.C. 78f(b).
\28\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
As a result of uncertainty related to the ongoing spread of COVID-
19, the U.S. equities markets are experiencing unprecedented market
volatility. In addition, social-distancing measures have been
implemented throughout the country, including in New York City, to
reduce the spread of COVID-19. Directly related to such social-
distancing measures, the CEO of the Exchange made a determination under
Rule 7.1(c)(3) that beginning March 23, 2020, the Trading Floor
facilities located at 11 Wall Street in New York City would close and
the Exchange would move, on a temporary basis, to fully electronic
trading.
The Exchange believes that the proposed rule change would remove
impediments to and perfect the mechanism of a free and open market
[[Page 17145]]
and a national market system because it would promote fair and orderly
Auctions on the Exchange by allowing DMMs to open, reopen, or close
more securities electronically. Since March 9, 2020, the Exchange has
been implementing the proposed relief under current Rules on a day-by-
day basis. Accordingly, the Exchange believes that the changes that
would be described in the proposed Commentary to Rules 7.35A and 7.35B
are consistent with our current rules.
The Exchange believes that by clearly stating that this relief will
be in effect through the earlier of the reopening of the Trading Floor
facilities or the close of the Exchange on May 15, 2020, DMMs will have
more certainty regarding what limitations would be applicable during
this period when they are unable to manually facilitate Auctions.
Because they would no longer need to respond to relief that is invoked
on a same-day basis, DMMs would be able to better manage their Auction
processes, which the Exchange believes would remove impediments to and
perfect the mechanism of a free and open market and a national market
system.
B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe that the proposed rule change would
impose any burden on competition that is not necessary or appropriate
in furtherance of the purposes of the Act. The proposed rule change is
not designed to address any competitive issues but rather is designed
to ensure fair and orderly Auctions on the Exchange by allowing DMMs to
open, reopen, or close more securities electronically during a
temporary period when the Exchange Trading Floor has been closed in
response to social-distancing measures designed to reduce the spread of
the COVID-19 virus.
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
The Exchange has filed the proposed rule change pursuant to Section
19(b)(3)(A)(iii) of the Act \29\ and Rule 19b-4(f)(6) thereunder.\30\
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, if consistent with the protection of
investors and the public interest, the proposed rule change has become
effective pursuant to Section 19(b)(3)(A) of the Act \31\ and Rule 19b-
4(f)(6) thereunder.\32\
---------------------------------------------------------------------------
\29\ 15 U.S.C. 78s(b)(3)(A)(iii).
\30\ 17 CFR 240.19b-4(f)(6).
\31\ 15 U.S.C. 78s(b)(3)(A).
\32\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6)(iii)
requires the Exchange to give the Commission written notice of the
Exchange's intent to file the proposed rule change, along with a
brief description and 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. The
Commission has waived that requirement for this proposed rule
change.
---------------------------------------------------------------------------
A proposed rule change filed under Rule 19b-4(f)(6) \33\ normally
does not become operative for 30 days after the date of the filing.
However, pursuant to Rule 19b-4(f)(6)(iii),\34\ the Commission may
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 proposed
rule change may become operative immediately. The Exchange represents
that the proposed rule change is designed to ensure fair and orderly
Auctions on the Exchange by allowing DMMs to open, reopen, or close
more securities electronically during a temporary period when the
Exchange Trading Floor has been closed in response to social-distancing
measures designed to reduce the spread of the COVID-19 virus. The
Exchange also believes that the proposed changes are consistent with
the type of relief that the Exchange can invoke on a temporary basis
pursuant to Rules 7.35A(j)(1) and 7.35B(j)(2). According to the
Exchange, the relief being requested has already been implemented on a
day-by-day basis to respond to the ongoing market volatility that the
markets have experienced since March 9, 2020, meaning that the proposed
relief is consistent with relief already available under Exchange
rules. In the Exchange's view, implementing the proposed rule change
would eliminate the need to invoke these measures on a daily basis, and
would provide advance notice and greater certainty to DMMs regarding
what parameters would be applicable to whether they can facilitate an
Auction electronically during the temporary period when the Trading
Floor is closed. The Exchange states that it is able to implement these
proposed rule changes immediately, that it will have tested such
measures on March 21, 2020, and that waiver of the 30-day operative
delay would provide the DMMs with greater ability to facilitate
Auctions electronically during the temporary period when the Trading
Floor is closed. The Commission notes that since March 9, 2020, the
Exchange has been implementing the proposed relief under current
Exchange rules on a day-by-day basis. The Commission also notes that by
clearly stating that this relief will be in effect through the earlier
of the reopening of the Trading Floor facilities or the close of the
Exchange on May 15, 2020, DMMs will have more certainty regarding what
limitations would be applicable during this period when they are unable
to manually facilitate Auctions, and thus should able to better manage
their Auction processes. Finally, The Commission notes that the
proposal is a temporary measure designed to respond to current,
unprecedented market conditions. For these reasons, the Commission
believes that waiver of the 30-day operative delay is consistent with
the protection of investors and the public interest. Accordingly, the
Commission hereby waives the 30-day operative delay and designates the
proposal operative upon filing.\35\
---------------------------------------------------------------------------
\33\ 17 CFR 240.19b-4(f)(6).
\34\ 17 CFR 240.19b-4(f)(6)(iii).
\35\ For purposes only of waiving the 30-day operative delay,
the Commission has 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 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
[[Page 17146]]
Send an email to [email protected]. Please include
File Number SR-NYSE-2020-22 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-2020-22. 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-2020-22, and should be submitted on
or before April 16, 2020.\36\
---------------------------------------------------------------------------
\36\ 17 CFR 200.30-3(a)(12), (59).
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2020-06290 Filed 3-25-20; 8:45 am]
BILLING CODE 8011-01-P
