Sunshine Act Meetings, 4358 [2024-01346]
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4358
Federal Register / Vol. 89, No. 15 / Tuesday, January 23, 2024 / Notices
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.
SECURITIES AND EXCHANGE
COMMISSION
Sunshine Act Meetings
FEDERAL CITATION OF PREVIOUS
ANNOUNCEMENT: Publishing in
the FR of
1/22/24.
PREVIOUSLY ANNOUNCED TIME AND DATE OF
THE MEETING: Wednesday, January 24,
2024, at 10:00 a.m.
The Open
Meeting scheduled for Wednesday,
January 24, 2024, at 10:00 a.m. has been
changed to Wednesday, January 24,
2024 at 9:15 a.m.
CONTACT PERSON FOR MORE INFORMATION:
For further information; please contact
Vanessa A. Countryman from the Office
of the Secretary at (202) 551–5400.
Authority: 5 U.S.C. 552b.
CHANGES IN THE MEETING:
A. Self-Regulatory Organization’s
Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule
Change
Dated: January 19, 2024.
Vanessa A. Countryman,
Secretary.
[FR Doc. 2024–01346 Filed 1–19–24; 4:15 pm]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–99354; File No. SR–
NYSEAMER–2024–03]
Self-Regulatory Organizations; NYSE
American LLC; Notice of Filing and
Immediate Effectiveness of Proposed
Change To Modify Rule 980NYP
January 17, 2024.
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 January
9, 2024, NYSE American LLC (‘‘NYSE
American’’ 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.
khammond on DSKJM1Z7X2PROD with NOTICES
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Exchange proposes to modify
Rule 980NYP (Electronic Complex
Order Trading) to specify additional
trading interest that would result in the
early end of a Complex Order Auction
(‘‘COA’’). The proposed rule change is
1 15
U.S.C. 78s(b)(1).
U.S.C. 78a.
3 17 CFR 240.19b–4.
2 15
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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. Purpose
The Exchange proposes to modify
Rule 980NYP (Electronic Complex
Order Trading) to specify additional
trading interest that would result in the
early end of a Complex Order Auction
(‘‘COA’’).
Rule 980NYP reflects how Electronic
Complex Orders (‘‘ECOs’’) will trade on
the Exchange 4 and paragraph (f) to this
rule describes the handling of ECOs
submitted to the Complex Order
Auction (COA) process.5 When a COA
Order initiates a COA, the Exchange
disseminates a Request for Response
(‘‘RFR’’) to solicit potentially priceimproving ECO interest—which
solicited interest includes interest
designated to respond to the COA (i.e.,
COA GTX Orders) and unrelated priceimproving ECO interest (resting and
newly arriving) that arrives during the
Response Time Interval (each an ‘‘RFR
Response’’) (collectively, the ‘‘auction
interest’’).6 The COA lasts for the
4 See generally Rule 980NYP (Electronic Complex
Order Trading). Unless otherwise specified, all
capitalized terms used herein have the same
meaning as is set forth in Rule 980NYP.
5 See Rules 980NYP(f) (Execution of ECOs During
a COA), (f)(1) (Initiation of a COA), (f)(2) (Pricing
of a COA). See also Rule 980NYP(a)(3)(A) (defining
a ‘‘COA Order’’ as an ECO designated as eligible to
initiate a COA).
6 See Rules 980NYP(a)(3)(B) (defining, and
detailing the information included in, each RFR);
(a)(3)(C) (defining each ‘‘RFR Response’’ as, among
other things, ‘‘any ECO’’ received during the
Response Time Interval that is in the same complex
strategy as, and is marketable against, the COA
Order); and (a)(3)(D) (defining the Response Time
Interval as the period during which RFR Responses
may be entered, which period ‘‘will not be less than
100 milliseconds and will not exceed one (1)
second,’’ as determined by the Exchange and
PO 00000
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duration of the Response Time Interval
unless, during the COA, the Exchange
receives certain options trading interest
that requires the COA to conclude
early.7 When the COA concludes, the
COA Order executes first with priceimproving ECO interest, next with any
contra-side interest, including the leg
markets (if permissible),8 and any
remaining balance (that is not cancelled)
is ranked in the Consolidated Book (the
‘‘Consolidated Book’’ or ‘‘Book’’).9 Once
the COA Order executes to the extent
possible—whether with the best-priced
Complex Orders or the best-priced
interest in the leg markets—and is
placed in the Book, the Exchange will
update its complex order book and, if
applicable, the Exchange BBO (as a
result of any executions of the COA
Order with the leg markets).
The Exchange proposes to modify
Rule 980NYP(f)(3) to add new paragraph
(E), which would provide that a COA in
progress will end early any time there
is a Complex Qualified Contingent Cross
(‘‘QCC’’) Order submitted in the same
complex strategy as the COA Order.10
By its terms, a Complex QCC Order
‘‘that is not rejected’’ by the Exchange,
‘‘will immediately trade in full at its
price.’’ 11 To avoid rejection, a Complex
announced by Trader Update). See Rule
980NYP(b)(2)(C) (defining a ‘‘COA GTX Order,’’
including that such order is submitted in response
to an RFR announcing a COA and will trade with
the COA Order to the extent possible and then
cancel).
7 See Rule 980NYP(f)(3)(A)–(D) (setting forth the
circumstances under which a COA will conclude
before the end of the Response Time Interval).
8 The Exchange notes that there are certain
limitations to how an ECO, including a COA Order
post-COA, may interact with the leg markets. See,
e.g., Rule 980NYP(e)(1)(A) (providing, in relevant
part, that the leg markets will trade first with an
ECO, but only if the legs can execute with the ECO
‘‘in full or in a permissible ratio,’’ and, once the leg
markets trade with the ECO to the extent possible,
such ECO will trade with same-priced ECOs resting
in the Book). See also Rule 980NYP(e)(1)(C)–(D)
(describing ECOs that are not permitted to trade
with the leg markets).
9 See Rule 980NYP(f)(4)(A)–(C) (Allocation of
COA Orders) (providing, in relevant part, that when
a COA ends early or at the end of the RTI, a COA
Order trades first with price-improving interest,
next ‘‘with any contra-side interest, including the
leg markets, unless the COA is designated as a
Complex Only Order’’ and any remaining portion
is ranked in the Consolidated Book and the COA
Order is processed as an ECO pursuant to Rule
980NYP(e) (Execution of ECOs During Core Trading
Hours). See Rule 900.2NY (defining Consolidated
Book as ‘‘the Exchange’s electronic book of orders
and quotes.’’).
10 See proposed Rule 980NYP(f)(3)(E). See Rules
900.3NYP(g)(1)(A) (providing that a ‘‘Complex QCC
Order’’ is a QCC with more than one option leg and
specifying that ‘‘each option leg must have at least
1,000 contracts’’) and (g)(1)(D) (setting forth the
pricing requirements that a Complex QCC Order
must meet, or else it will be rejected).
11 See Rule 900.3NYP(g)(1)(A) (providing that a
QCC Order, including a Complex QCC Order, ‘‘that
is not rejected per paragraph (g)(1)(C) [Execution of
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]]>Agencies
[Federal Register Volume 89, Number 15 (Tuesday, January 23, 2024)]
[Notices]
[Page 4358]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-01346]
[[Page 4358]]
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SECURITIES AND EXCHANGE COMMISSION
Sunshine Act Meetings
FEDERAL CITATION OF PREVIOUS ANNOUNCEMENT: Publishing in the FR of 1/
22/24.
PREVIOUSLY ANNOUNCED TIME AND DATE OF THE MEETING: Wednesday, January
24, 2024, at 10:00 a.m.
CHANGES IN THE MEETING: The Open Meeting scheduled for Wednesday,
January 24, 2024, at 10:00 a.m. has been changed to Wednesday, January
24, 2024 at 9:15 a.m.
CONTACT PERSON FOR MORE INFORMATION: For further information; please
contact Vanessa A. Countryman from the Office of the Secretary at (202)
551-5400.
Authority: 5 U.S.C. 552b.
Dated: January 19, 2024.
Vanessa A. Countryman,
Secretary.
[FR Doc. 2024-01346 Filed 1-19-24; 4:15 pm]
BILLING CODE 8011-01-P
