83 FR 23318 - Self-Regulatory Organizations; The Nasdaq Stock Market LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend the Market Order Spread Protection
SECURITIES AND EXCHANGE COMMISSION Federal Register Volume 83, Issue 97 (May 18, 2018)
Federal Register Volume 83, Issue 97 (May 18, 2018)
| Page Range | 23318-23320 | |
| FR Document | 2018-10604 |
[Federal Register Volume 83, Number 97 (Friday, May 18, 2018)] [Notices] [Pages 23318-23320] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2018-10604] ----------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION [Release No. 34-83228; File No. SR-NASDAQ-2018-037] Self-Regulatory Organizations; The Nasdaq Stock Market LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend the Market Order Spread Protection May 14, 2018. 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 April 30, 2018, The Nasdaq Stock Market LLC (``Nasdaq'' or the ``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\ 17 CFR 240.19b-4. --------------------------------------------------------------------------- I. Self-Regulatory Organization's Statement of the Terms of Substance of the Proposed Rule Change The Exchange proposes a proposal to amend the Market Order Spread Protection and reorganize Rule Chapter VI, Section 18 entitled, ``Order Price Protections.'' The text of the proposed rule change is available on the Exchange's website at http://nasdaq.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 purpose of the proposed rule change is to amend Chapter VI, Section 18, entitled, ``Order Price Protection'' to ``Risk Protections'' and relocate all the order protections into a single rule and categorize them as either order protections, order and quote protections or market maker protections. The Exchange believes that placing all the order protections into a single rule will provide market participants with information as to the availability of these protections, which are all mandatory. The Exchange also proposes to amend the Market Order Spread Protection and Acceptable Trade Range Rules to add more specificity. Universal Amendments The Exchange proposes to restructure Chapter VI, Section 18 into three parts: (1) Order protections; (2) order and quote protections; and (3) market maker protections. The Exchange proposes to reletter and renumber the rule as well to provide a more organized structure. The Exchange believes that categorizing the various protections provides more information to market participants as to each of the risk protections. Order Price Protection The Exchange proposes only to reorganize the rule by adding new lettering and numbering to conform to the remainder of the proposed rule, no other amendments are being made to Order Price Protection. Market Order Spread Protection The Exchange proposes to relocate the Market Order Spread Protection rule from Chapter VI, Section 6(c) into Chapter VI, Section 18. The Exchange also proposes to amend the Market Order Spread Protection at proposed Chapter VI, Section 18(a)(2) by adding an additional sentence stating, ``Market Order Spread Protection shall not apply to the Opening Process and during a halt.'' Today, the Market Order Spread Protection does not apply during the Opening Process and during a trading halt. The Exchange is adding this additional specificity to the rule to make clear when the protection is operative. Both the Opening Process and trading halts have the same or more restrictive boundaries as those proposed for the Market Order Spread Protection. With respect to the Opening Process, a Valid Width National Best Bid or Offer is required. A Valid Width National Best Bid or Offer'' or ``Valid Width NBBO'' shall mean the combination of all away market quotes and any combination of NOM-registered Market Maker orders and quotes received over the OTTO or SQF Protocols within a specified bid/ask differential as established and published by the Exchange.\3\ The Valid Width NBBO is configurable by underlying, and tables with valid width differentials are posted by Nasdaq on its website.\4\ The Exchange's threshold for the Market Order Spread Protection is currently set at $5.\5\ Today, the maximum bid/ask differentials are more restrictive for both Penny and Non-Penny issues that are not LEAPS \6\ (up to $2.00 and $2.25, respectively, for the bid/ask differentials). The maximum bid/ask differentials are equal to or more restrictive for both Penny and Non-Penny issues that are LEAPS (up to a $5.00 bid/ask differential.) The Exchange believes that the Market Order Spread Protection is unnecessary during the Opening Process because other protections are in place to ensure that the best bid and offer displayed on the Exchange are within a reasonable range. --------------------------------------------------------------------------- \3\ Away markets that are crossed will void all Valid Width NBBO calculations. If any Market Maker orders or quotes on NOM are crossed internally, then all such orders and quotes will be excluded from the Valid Width NBBO calculation. See NOM Chapter VI, Section 8(a)(6). \4\ The table with the differentials is published on the Exchange's website at: http://www.nasdaqtrader.com/content/technicalsupport/NOM_SystemSettings.pdf. \5\ The current Market Order Spread Differential is set at $5. The table in note 4 above notes the current setting. \6\ LEAPS are option series with a time to expiration greater than nine (9) months. See Chapter VI, Section 8. --------------------------------------------------------------------------- As provided in Chapter V, Section 4 trading halts are subject to the reopening process as provided for in Chapter VI, Section 8. The same protections noted for the Opening Process above will apply for trading halts. The Exchange believes that the Market Order Spread Protection is [[Page 23319]] unnecessary during a trading halt because other protections are in place to ensure that the best bid and offer displayed on the Exchange are within a reasonable range. Acceptable Trade Range The Exchange proposes to relocate the Acceptable Trade Protection from Chapter VI, Section 10(7) into Chapter VI, Section 18(b)(1). The Exchange also proposes to note more specifically within the rule that this risk protection applies to both quotes and orders. Today, the rule only refers to ``orders'' in a few places. The Exchange proposes to note ``order/quotes'' in those instances to make clear that both orders and quotes are protected. This addition and the categorization proposed within this rule change should make that this protection more transparent. Anti-Internalization The Exchange proposes to relocate the Anti-Internalization Protection from Chapter VI, Section 10(6) into Chapter VI, Section 18(c)(1). The Exchange proposes only to reorganize the rule by adding new lettering and numbering to conform to the remainder of the proposed rule, no other amendments are being made to the Anti-Internalization rule. Automated Removal of Quotes and Orders The Exchange proposes to relocate the Automated Removal of Quotes and Orders from Chapter VII, Section 6(f) into Chapter VI, Section 18(c)(2). The Exchange proposes only to reorganize the rule by adding new lettering and numbering to conform to the remainder of the proposed rule, no other amendments are being made to the Automated Removal of Quotes and Orders rule. 2. Statutory Basis The Exchange believes that its proposal is consistent with Section 6(b) of the Act,\7\ in general, and furthers the objectives of Section 6(b)(5) of the Act,\8\ in particular, in that it is designed to promote just and equitable principles of trade, to remove impediments to and perfect the mechanism of a free and open market and a national market system, and, in general to protect investors and the public interest, by grouping the various order protections applied on NOM into a single rule for ease of reference and adding headers to the rule to make clear whether the risk protection is an order, quote or order and market maker protection. The Exchange believes the reorganization of the existing rule and relocation of various rules into Rule Chapter VI, Section 18 is a non-substantive rule change. --------------------------------------------------------------------------- \7\ 15 U.S.C. 78f(b). \8\ 15 U.S.C. 78f(b)(5). --------------------------------------------------------------------------- The Exchange is amending the Market Order Spread Protection to provide more specificity to that rule. Today, the Market Order Spread Protection does not apply during the Opening Process and during halts. The Exchange is proposing to memorialize this exception into the rule to provide more transparency as to the operation of this protection. Both the Opening Process and trading halts have the same or more restrictive boundaries as those proposed for the Market Order Spread Protection. With respect to the Opening Process, a Valid Width NBBO is required. With respect to the Opening Process, a Valid Width National Best Bid or Offer is required. A Valid Width NBBO is the combination of all away market quotes and any combination of NOM-registered Market Maker orders and quotes received over the OTTO or SQF Protocols within a specified bid/ask differential as established and published by the Exchange.\9\ The Exchange's requirements during the Opening Process are as restrictive as the setting for the Market Order Spread Protection. As provided in Chapter V, Section 4 trading halts are subject to the reopening process as provided for in Chapter VI, Section 8. The same protections noted for the Opening Process above will apply for trading halts. The Exchange believes that the Market Order Spread Protection is unnecessary during the Opening Process and during a trading halt because other protections are in place to ensure that the best bid and offer displayed on the Exchange are within a reasonable range. --------------------------------------------------------------------------- \9\ Away markets that are crossed will void all Valid Width NBBO calculations. If any Market Maker orders or quotes on NOM are crossed internally, then all such orders and quotes will be excluded from the Valid Width NBBO calculation. See NOM Chapter VI, Section 8(a)(6). --------------------------------------------------------------------------- The Exchange is also proposing to make clear that the Acceptable Trade Range protection is an order and quote protection. This particular rule does not specifically state orders and quotes in each place either is mentioned with the rule. The Exchange believes adding order/quote in each instance it appears will bring greater transparency to the rule and protect investors and the public interest by providing greater clarity to the rule. B. Self-Regulatory Organization's Statement on Burden on Competition The Exchange does not believe that the proposed rule change will impose any burden on competition not necessary or appropriate in furtherance of the purposes of the Act. The proposal does not impose an intra-market burden on competition with respect to the reorganization and relocation of the various rules into Rule Chapter VI, Section 18 because the various price protections will continue to apply uniformly to all market participants. The Exchange does not believe that not applying the Market Order Spread Protection during the Opening Process and during a trading halt creates an undue burden on competition because these mechanisms have the same or more restrictive protections as the Market Order Spread Protection. Finally, the amendments to the Acceptable Trade Range rule creates an undue burden on competition because the additional language brings more transparency to the existing rule. C. Self-Regulatory Organization's Statement on Comments on the Proposed Rule Change Received From Members, Participants, or Others No written comments were either solicited or received. III. Date of Effectiveness of the Proposed Rule Change and Timing for Commission Action Because the foregoing proposed rule change does not: (i) Significantly affect the protection of investors or the public interest; (ii) impose any significant burden on competition; and (iii) become operative for 30 days from the date on which it was filed, or such shorter time as the Commission may designate, it has become effective pursuant to Section 19(b)(3)(A) of the Act \10\ and Rule 19b- 4(f)(6) thereunder.\11\ --------------------------------------------------------------------------- \10\ 15 U.S.C. 78s(b)(3)(A). \11\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6) requires a self-regulatory organization to give the Commission written notice of its intent to file 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 Exchange has satisfied this requirement. --------------------------------------------------------------------------- A proposed rule change filed pursuant to Rule 19b-4(f)(6) under the Act \12\ normally does not become operative for 30 days after the date of its filing. However, Rule 19b-4(f)(6)(iii) \13\ however, permits the Commission to designate a shorter time if such action is consistent with the protection of investors and the public interest. The [[Page 23320]] Exchange has requested that the Commission waive the 30-day operative delay so that the proposal may become operative upon filing. The Exchange states that it believes it is important for it to be able to manage the administration of its rules on an immediately effective basis. Further, with respect to the amendment to the Market Order Spread Protection and Acceptable Trade Range, the Exchange believes that the amendment protects investors and the public interest by providing more transparency as to the operation of this protection during the Opening Process and during halts for the Market Order Spread Protection and also clarifies the Acceptable Trade Range rule. 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 and, therefore, the Commission hereby waives the 30-day operative delay and designates the proposed rule change operative upon filing.\14\ --------------------------------------------------------------------------- \12\ 17 CFR 240.19b-4(f)(6)(iii). \13\ 17 CFR 240.19b-4(f)(6)(iii). \14\ For purposes only of waiving the 30-day operative delay, the Commission has also considered the proposed rule's impact on efficiency, competition, and capital formation. See 15 U.S.C. 78c(f). --------------------------------------------------------------------------- At any time within 60 days of the filing of the proposed rule change, the Commission summarily may temporarily suspend such rule change if it appears to the Commission that such action is: (i) Necessary or appropriate in the public interest; (ii) for the protection of investors; or (iii) 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 CommentsUse the Commission's internet comment form (http://www.sec.gov/rules/sro.shtml); or Send an email to [email protected]. Please include File Number SR-NASDAQ-2018-037 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-NASDAQ-2018-037. 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 (http://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-NASDAQ-2018-037 and should be submitted on or before June 8, 2018. For the Commission, by the Division of Trading and Markets, pursuant to delegated authority.\15\ --------------------------------------------------------------------------- \15\ 17 CFR 200.30-3(a)(12). --------------------------------------------------------------------------- Eduardo A. Aleman, Assistant Secretary. [FR Doc. 2018-10604 Filed 5-17-18; 8:45 am] BILLING CODE 8011-01-P
![23318 Federal Register / Vol. 83, No. 97 / Friday, May 18, 2018 / Notices
filing also will be available for II. Self-Regulatory Organization’s Chapter VI, Section 18(a)(2) by adding
inspection and copying at the principal Statement of the Purpose of, and an additional sentence stating, ‘‘Market
office of the Exchange. All comments Statutory Basis for, the Proposed Rule Order Spread Protection shall not apply
received will be posted without change. Change to the Opening Process and during a
Persons submitting comments are In its filing with the Commission, the halt.’’ Today, the Market Order Spread
cautioned that we do not redact or edit Exchange included statements Protection does not apply during the
personal identifying information from concerning the purpose of and basis for Opening Process and during a trading
comment submissions. You should the proposed rule change and discussed halt. The Exchange is adding this
submit only information that you wish any comments it received on the additional specificity to the rule to make
to make available publicly. All proposed rule change. The text of these clear when the protection is operative.
submissions should refer to File statements may be examined at the Both the Opening Process and trading
Number SR–NYSE–2018–21 and should places specified in Item IV below. The halts have the same or more restrictive
be submitted on or before June 8, 2018. Exchange has prepared summaries, set boundaries as those proposed for the
For the Commission, by the Division of forth in sections A, B, and C below, of Market Order Spread Protection. With
Trading and Markets, pursuant to delegated the most significant aspects of such respect to the Opening Process, a Valid
authority.22 statements. Width National Best Bid or Offer is
Eduardo A. Aleman, required. A Valid Width National Best
A. Self-Regulatory Organization’s Bid or Offer’’ or ‘‘Valid Width NBBO’’
Assistant Secretary.
Statement of the Purpose of, and shall mean the combination of all away
[FR Doc. 2018–10606 Filed 5–17–18; 8:45 am]
Statutory Basis for, the Proposed Rule market quotes and any combination of
BILLING CODE 8011–01–P
Change NOM-registered Market Maker orders
1. Purpose and quotes received over the OTTO or
SECURITIES AND EXCHANGE SQF Protocols within a specified bid/
The purpose of the proposed rule ask differential as established and
COMMISSION change is to amend Chapter VI, Section published by the Exchange.3 The Valid
18, entitled, ‘‘Order Price Protection’’ to Width NBBO is configurable by
[Release No. 34–83228; File No. SR– ‘‘Risk Protections’’ and relocate all the underlying, and tables with valid width
NASDAQ–2018–037] order protections into a single rule and differentials are posted by Nasdaq on its
categorize them as either order website.4 The Exchange’s threshold for
Self-Regulatory Organizations; The protections, order and quote protections
Nasdaq Stock Market LLC; Notice of the Market Order Spread Protection is
or market maker protections. The currently set at $5.5 Today, the
Filing and Immediate Effectiveness of Exchange believes that placing all the
Proposed Rule Change To Amend the maximum bid/ask differentials are more
order protections into a single rule will restrictive for both Penny and Non-
Market Order Spread Protection provide market participants with Penny issues that are not LEAPS 6 (up to
May 14, 2018. information as to the availability of $2.00 and $2.25, respectively, for the
Pursuant to Section 19(b)(1) of the these protections, which are all bid/ask differentials). The maximum
Securities Exchange Act of 1934 mandatory. The Exchange also proposes bid/ask differentials are equal to or more
(‘‘Act’’),1 and Rule 19b–4 thereunder,2 to amend the Market Order Spread restrictive for both Penny and Non-
notice is hereby given that on April 30, Protection and Acceptable Trade Range Penny issues that are LEAPS (up to a
2018, The Nasdaq Stock Market LLC Rules to add more specificity. $5.00 bid/ask differential.) The
(‘‘Nasdaq’’ or the ‘‘Exchange’’) filed with Universal Amendments Exchange believes that the Market Order
the Securities and Exchange Spread Protection is unnecessary during
The Exchange proposes to restructure
Commission (‘‘Commission’’) the the Opening Process because other
Chapter VI, Section 18 into three parts:
proposed rule change as described in protections are in place to ensure that
(1) Order protections; (2) order and
Items I and II below, which Items have the best bid and offer displayed on the
quote protections; and (3) market maker
been prepared by the Exchange. The Exchange are within a reasonable range.
protections. The Exchange proposes to
Commission is publishing this notice to As provided in Chapter V, Section 4
reletter and renumber the rule as well to
solicit comments on the proposed rule trading halts are subject to the
provide a more organized structure. The
change from interested persons. reopening process as provided for in
Exchange believes that categorizing the
Chapter VI, Section 8. The same
I. Self-Regulatory Organization’s various protections provides more
protections noted for the Opening
Statement of the Terms of Substance of information to market participants as to
Process above will apply for trading
the Proposed Rule Change each of the risk protections.
halts. The Exchange believes that the
The Exchange proposes a proposal to Order Price Protection Market Order Spread Protection is
amend the Market Order Spread The Exchange proposes only to 3 Away markets that are crossed will void all
Protection and reorganize Rule Chapter reorganize the rule by adding new Valid Width NBBO calculations. If any Market
VI, Section 18 entitled, ‘‘Order Price lettering and numbering to conform to Maker orders or quotes on NOM are crossed
Protections.’’ the remainder of the proposed rule, no internally, then all such orders and quotes will be
The text of the proposed rule change other amendments are being made to excluded from the Valid Width NBBO calculation.
See NOM Chapter VI, Section 8(a)(6).
is available on the Exchange’s website at Order Price Protection. 4 The table with the differentials is published on
http://nasdaq.cchwallstreet.com, at the
daltland on DSKBBV9HB2PROD with NOTICES
Market Order Spread Protection the Exchange’s website at: http://
principal office of the Exchange, and at www.nasdaqtrader.com/content/technicalsupport/
the Commission’s Public Reference The Exchange proposes to relocate the NOM_SystemSettings.pdf.
Room. Market Order Spread Protection rule 5 The current Market Order Spread Differential is
from Chapter VI, Section 6(c) into set at $5. The table in note 4 above notes the current
setting.
22 17 CFR 200.30–3(a)(12). Chapter VI, Section 18. The Exchange 6 LEAPS are option series with a time to
1 15 U.S.C. 78s(b)(1). also proposes to amend the Market expiration greater than nine (9) months. See
2 17 CFR 240.19b–4. Order Spread Protection at proposed Chapter VI, Section 8.
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![23320 Federal Register / Vol. 83, No. 97 / Friday, May 18, 2018 / Notices
Exchange has requested that the All submissions should refer to File ‘‘Act’’),1 and Rule 19b–4 thereunder,2
Commission waive the 30-day operative Number SR–NASDAQ–2018–037. This notice is hereby given that on May 9,
delay so that the proposal may become file number should be included on the 2018, Cboe C2 Exchange, Inc. (the
operative upon filing. The Exchange subject line if email is used. To help the ‘‘Exchange’’ or ‘‘C2’’) filed with the
states that it believes it is important for Commission process and review your Securities and Exchange Commission
it to be able to manage the comments more efficiently, please use (the ‘‘Commission’’) the proposed rule
administration of its rules on an only one method. The Commission will change as described in Items I and II
immediately effective basis. Further, post all comments on the Commission’s below, which Items have been prepared
with respect to the amendment to the internet website (http://www.sec.gov/ by the Exchange. The Exchange filed the
Market Order Spread Protection and rules/sro.shtml). Copies of the proposal as a ‘‘non-controversial’’
Acceptable Trade Range, the Exchange submission, all subsequent proposed rule change pursuant to
believes that the amendment protects amendments, all written statements Section 19(b)(3)(A)(iii) of the Act 3 and
investors and the public interest by with respect to the proposed rule Rule 19b–4(f)(6) thereunder.4 The
providing more transparency as to the change that are filed with the Commission is publishing this notice to
operation of this protection during the Commission, and all written solicit comments on the proposed rule
Opening Process and during halts for communications relating to the change from interested persons.
the Market Order Spread Protection and proposed rule change between the
also clarifies the Acceptable Trade I. Self-Regulatory Organization’s
Commission and any person, other than
Range rule. For these reasons, the Statement of the Terms of Substance of
those that may be withheld from the
Commission believes that waiver of the the Proposed Rule Change
public in accordance with the
30-day operative delay is consistent provisions of 5 U.S.C. 552, will be The Exchange proposes to amend the
with the protection of investors and the available for website viewing and opening process with respect to index
public interest and, therefore, the printing in the Commission’s Public options. The text of the proposed rule
Commission hereby waives the 30-day Reference Room, 100 F Street NE, change is provided below.
operative delay and designates the Washington, DC 20549, on official
proposed rule change operative upon business days between the hours of (additions are italicized; deletions are
filing.14 10:00 a.m. and 3:00 p.m. Copies of the [bracketed])
At any time within 60 days of the filing also will be available for * * * * *
filing of the proposed rule change, the inspection and copying at the principal
Commission summarily may Cboe C2 Exchange, Inc.
office of the Exchange. All comments
temporarily suspend such rule change if received will be posted without change. Rules
it appears to the Commission that such Persons submitting comments are * * * * *
action is: (i) Necessary or appropriate in cautioned that we do not redact or edit
the public interest; (ii) for the protection Rule 6.11. Opening Process
personal identifying information from
of investors; or (iii) otherwise in comment submissions. You should (a) Opening Process.
furtherance of the purposes of the Act. (1) No change.
submit only information that you wish (2) Opening Price.
If the Commission takes such action, the to make available publicly. All (A) Equity Options. The System determines
Commission shall institute proceedings submissions should refer to File a single price at which a particular equity
to determine whether the proposed rule Number SR–NASDAQ–2018–037 and option series will be opened (the ‘‘Opening
change should be approved or should be submitted on or before June Price’’) within 30 seconds of the First Listing
disapproved. 8, 2018. Market Transaction[ or 9:30 a.m., as
applicable]. If there are no contracts in a
IV. Solicitation of Comments For the Commission, by the Division of series that would execute at any price, the
Interested persons are invited to Trading and Markets, pursuant to delegated System opens the series for trading without
authority.15
submit written data, views and determining an Opening Price. The Opening
arguments concerning the foregoing, Eduardo A. Aleman, Price, if valid pursuant to subparagraph (3),
including whether the proposed rule Assistant Secretary. of a series will be:
change is consistent with the Act. [FR Doc. 2018–10604 Filed 5–17–18; 8:45 am] ([A]i) If there is both an NBB and an NBO,
the midpoint of the NBBO (if the midpoint
Comments may be submitted by any of BILLING CODE 8011–01–P
is a half increment, the System rounds down
the following methods: to the nearest minimum increment) (the
Electronic Comments ‘‘NBBO Midpoint’’);
SECURITIES AND EXCHANGE ([B]ii) if the NBBO Midpoint is not a valid
• Use the Commission’s internet COMMISSION price, the last disseminated transaction price
comment form (http://www.sec.gov/ in the series after 9:30 a.m. (the ‘‘Last Print’’);
rules/sro.shtml); or [Release No. 34–83225; File No. SR–C2– or
• Send an email to rule-comments@ 2018–009] ([C]iii) if the NBBO Midpoint and the Last
sec.gov. Please include File Number SR– Print are not valid prices, the last
NASDAQ–2018–037 on the subject line. Self-Regulatory Organizations; Cboe disseminated transaction in the series from
C2 Exchange, Inc.; Notice of Filing and the previous trading day (the ‘‘Previous
Paper Comments Close’’).
Immediate Effectiveness of a Proposed
• Send paper comments in triplicate Rule Change To Amend Rule 6.11.,
If the NBBO Midpoint, Last Print, and
to Secretary, Securities and Exchange Previous Close are not valid, the Exchange in
Regarding the Opening Process for
daltland on DSKBBV9HB2PROD with NOTICES
its discretion may extend the Order Entry
Commission, 100 F Street NE, Index Options Period by up to 30 seconds or open the series
Washington, DC 20549–1090. for trading.
May 14, 2018.
14 For purposes only of waiving the 30-day Pursuant to Section 19(b)(1) of the 1 15 U.S.C. 78s(b)(1).
operative delay, the Commission has also Securities Exchange Act of 1934 (the 2 17 CFR 240.19b–4.
considered the proposed rule’s impact on
3 15 U.S.C. 78s(b)(3)(A)(iii).
efficiency, competition, and capital formation. See
15 U.S.C. 78c(f). 15 17 CFR 200.30–3(a)(12). 4 17 CFR 240.19b–4(f)(6).
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Document Created: 2018-05-18 02:16:04
Document Modified: 2018-05-18 02:16:04
| Category | Regulatory Information | |
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| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
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| FR Citation | 83 FR 23318 |
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