82 FR 20926 - Self-Regulatory Organizations; NYSE MKT LLC; Notice of Designation of a Longer Period for Commission Action on Proceedings To Determine Whether To Approve or Disapprove a Proposed Rule Change Amending Rule 104-Equities To Delete Subsection (g)(i)(A)(III) Prohibiting Designated Market Makers From Establishing a New High (Low) Price on the Exchange in a Security the DMM Has a Long (Short) Position During the Last Ten Minutes Prior to the Close of Trading

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 82, Issue 85 (May 4, 2017)

[Federal Register Volume 82, Number 85 (Thursday, May 4, 2017)]
[Notices]
[Pages 20926-20927]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-08977]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-80550; File No. SR-NYSEMKT-2016-99]


Self-Regulatory Organizations; NYSE MKT LLC; Notice of 
Designation of a Longer Period for Commission Action on Proceedings To 
Determine Whether To Approve or Disapprove a Proposed Rule Change 
Amending Rule 104--Equities To Delete Subsection (g)(i)(A)(III) 
Prohibiting Designated Market Makers From Establishing a New High (Low) 
Price on the Exchange in a Security the DMM Has a Long (Short) Position 
During the Last Ten Minutes Prior to the Close of Trading

April 28, 2017.
    On October 27, 2016, NYSE MKT (``NYSE MKT'' or ``Exchange'') filed 
with the Securities and Exchange Commission (``Commission'') pursuant 
to Section 19(b)(1) of the Securities Exchange Act of 1934 (``Act'') 
\1\ and Rule 19b-4 thereunder,\2\ a proposed rule change amending Rule 
104--Equities to delete subsection (g)(i)(A)(III), which prohibits 
Designated Market Makers (``DMMs'') from establishing, during the last 
ten minutes of trading before the close, a new high (low) price for the 
day on the Exchange in a security in which the DMM has a long (short) 
position. The proposed rule change was published for comment in the 
Federal Register on November 17, 2016.\3\
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ See Securities Exchange Act Release No. 79283 (Nov. 10, 
2016), 81 FR 81210 (Nov. 17, 2016).
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    On December, 20, 2016, the Commission extended to February 15, 
2017, the time period in which to approve the proposal, disapprove the 
proposal, or institute proceedings to determine whether to approve or 
disapprove the proposal.\4\ On February 15, 2017, the Commission 
instituted

[[Page 20927]]

proceedings under Section 19(b)(2)(B) of the Act \5\ to determine 
whether to approve or disapprove the proposed rule change.\6\ On March 
16, 2017, the Exchange filed a response to the Order Instituting 
Proceedings.\7\
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    \4\ See Securities Exchange Act Release No. 79611 (Dec. 20, 
2016), 81 FR 95205 (Dec. 27, 2016).
    \5\ 15 U.S.C. 78s(b)(2)(B).
    \6\ See Securities Exchange Act Release No. 80043 (Feb. 15, 
2017), 82 FR 11379 (Feb. 22, 2017) (``Order Instituting 
Proceedings''). Specifically, the Commission instituted proceedings 
to allow for additional analysis of the proposed rule change's 
consistency with Section 6(b)(5) of the Act, which requires, among 
other things, that the rules of a national securities exchange be 
``designed to prevent fraudulent and manipulative acts and 
practices, to promote just and equitable principles of trade,'' and 
``to protect investors and the public interest.'' See id., 81 FR at 
11380.
    \7\ See letter to Brent J. Fields, Secretary, Commission, from 
Elizabeth King, General Counsel and Corporate Secretary, New York 
Stock Exchange LLC, dated March 16, 2017, available at https://www.sec.gov/comments/sr-nyse-2016-71/nyse201671-1645043-148163.pdf.
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    Section 19(b)(2) of the Act \8\ provides that, after initiating 
disapproval proceedings, the Commission shall issue an order approving 
or disapproving the proposed rule change not later than 180 days after 
the date of publication of notice of the filing of the proposed rule 
change. The Commission may extend the period for issuing an order 
approving or disapproving the proposed rule change, however, by not 
more than 60 days if the Commission determines that a longer period is 
appropriate and publishes the reasons for such determination. The 
proposed rule change was published for notice and comment in the 
Federal Register on November 17, 2016.\9\ The 180th day after 
publication of the notice of the filing of the proposed rule change in 
the Federal Register is May 16, 2017.
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    \8\ 15 U.S.C. 78s(b)(2).
    \9\ See supra note 3.
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    The Commission finds that it is appropriate to designate a longer 
period within which to issue an order approving or disapproving the 
proposed rule change so that it has sufficient time to consider the 
proposed rule change.
    Accordingly, the Commission, pursuant to Section 19(b)(2) of the 
Act,\10\ designates July 15, 2017, as the date by which the Commission 
shall either approve or disapprove the proposed rule change (File No. 
SR-NYSEMKT-2016-99).
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    \10\ 15 U.S.C. 78s(b)(2).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\11\
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    \11\ 17 CFR 200.30-3(a)(57).
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Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2017-08977 Filed 5-3-17; 8:45 am]
BILLING CODE 8011-01-P