78296 Federal Register / Vol. 75, No. 240 / Wednesday, December 15, 2010 / Notices 

1 15 U.S.C. 78s(b)(1). 

2 17 CFR 240.19b–4. 

3 ‘‘System Hours Immediate or Cancel’’ shall 

mean, for orders so designated, that if after entry 

into the System the order (or a portion thereof) is 

not marketable, the order (or unexecuted portion 

thereof) shall be canceled and returned to the 

entering Participant. See PSX Rule 3301(h)(1). 

4 ‘‘System Hours Day’’ shall mean, for orders so 

designated, that if after entry into the System, the 

order is not fully executed, the order (or the 

unexecuted portion thereof) shall remain available 

for potential display and/or execution from 9 a.m. 

until 5 p.m. Eastern Time on the day it was 

submitted unless cancelled by the entering party. 

See PSX Rule 3301(h)(2). 

5 ‘‘System Hours Expire Time’’ or ‘‘SHEX’’ shall 

mean, for orders so designated, that if after entry 

into the System, the order is not fully executed, the 

order (or the unexecuted portion thereof) shall 

remain available for potential display and/or 

execution for the amount of time specified by the 

entering Participant (up to 5 p.m. on the day 

entered) unless canceled by the entering 

Participant. See PSX Rule 3301(h)(4). 

6 ‘‘Good-til-market close’’ shall mean for orders so 

designated, that if after entry into the System, the 

order is not fully executed, the order (or unexecuted 

portion thereof) shall remain available for potential 

display and/or execution until cancelled by the 

entering party, or until 4 p.m., after which it shall 

be returned to the entering party. See PSX Rule 

3301(h)(8). 

7 15 U.S.C. 78f. 

8 15 U.S.C. 78f(b)(1), (5). 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–63492; File No. SR–Phlx– 

2010–172] 

Self-Regulatory Organizations; Notice 

of Filing and Immediate Effectiveness 

of Proposed Rule Change by NASDAQ 

OMX PHLX LLC Relating To Changing 

the Starting Time for NASDAQ OMX 

PSX 

December 9, 2010. 

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 December 

3, 2010, NASDAQ OMX PHLX LLC 

(‘‘Phlx’’ 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 self-regulatory organization. The 

Commission is publishing this notice to 

solicit comments on the proposed rule 

change from interested persons. 

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

The Exchange proposes to amend 

certain rules of NASDAQ OMX PSX, the 

Exchange’s equity trading facility 

(‘‘PSX’’), to change the starting time from 

9 a.m. Eastern Time (‘‘ET’’) to 8 a.m. ET. 

The Exchange proposes to amend 

provisions of PSX Rules 3100, 3217, 

3301, 3302 and 3306 to reflect the 

proposed amended starting time. 

The text of the proposed rule change 

is available on the Exchange’s Web site 

at http://www.nasdaqtrader.com/micro.

aspx?id=PHLXRulefilings, 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 the 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The purpose of the proposed rule 

change is to amend certain rules of PSX 

to change the starting time from 9 a.m. 

ET to 8 a.m. ET. More specifically, the 

Exchange proposes to amend the 

following PSX rules in the following 

manner: 

i. PSX Rule 3100 (b)(4)(B) to reflect 

that the trading session begins at 8 a.m. 

instead of 9 a.m. 

ii. PSX Rule 3217 to reflect that the 

normal business hours for the 

automated system for order execution 

and trade reporting owned and operated 

by the Exchange for the purpose of 

trading securities on PSX (‘‘System’’) 

operates from 8 a.m. ET instead of 9 

a.m. ET. 

iii. PSX Rule 3301(h)(1) to reflect that 

System Hours Immediate or Cancel 3

orders must be will be available for 

entry and execution from 8 a.m. ET 

instead of 9 a.m. ET. 

iv. PSX Rule 3301(h)(2) to reflect that 

System Hours Day 4 orders must remain 

available for potential display and/or 

execution from 8 a.m. ET instead of 9 

a.m. ET. 

v. PSX Rule 3301(h)(4) to reflect that 

System Hours Expire Time 5 orders must 

remain for entry and execution from 8 

a.m. ET instead of 9 a.m. ET. 

vi. PSX Rule 3301(h)(8) to reflect that 

‘‘good-til-market close’’ 6 orders must be 

available for entry and potential 

execution from 8 a.m. ET instead of 9 

a.m. ET. 

vii. PSX Rule 3302 to reflect that the 

System will be opened for order entry 

at 8 a.m. instead of 9 a.m. 

viii. PSX Rule 3306(a)(3) to reflect 

that orders can be entered into the 

System (or previously entered orders 

cancelled) from 8 a.m. ET instead of 9 

a.m. ET. 

PSX is a fully electronic system that 

accommodates diverse business models 

and trading preferences. PSX utilizes 

technology to aggregate and display 

liquidity and make it available for 

execution of orders. PSX is proposing to 

expand its operational hours to open the 

System earlier so that firms can enter 

orders and execute beginning at 8 a.m. 

rather than 9 a.m. 

2. Statutory Basis 

The Exchange believes that the 

proposed rule change is consistent with 

the provisions of Section 6 of the Act,7

in general, and with Sections 6(b)(1) and 

6(b)(5) of the Act,8 in particular, in that 

the proposal enables the Exchange to be 

so organized as to have the capacity to 

be able to carry out the purposes of the 

Act and to comply with and enforce 

compliance by members, member 

organizations, and persons associated 

with members and member 

organizations with provisions of the 

Act, the rules and regulations 

thereunder, and the rules of the 

Exchange. The proposal is also 

consistent with Section 6 of the Act in 

that the proposal 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 regulating, clearing, settling, 

processing information with respect to, 

and facilitating transactions in 

securities, to remove impediments to 

and perfect the mechanism of a free and 

open market and a national market 

system, and, in general, to protect 

investors and the public interest. An 

earlier open will enhance the national 

market system by providing market 

participants increased opportunity to 

more effectively carryout the execution 

of orders in the manner addressed by 

PSX rules. Such improvements will 

enhance the protection of investors and 

the public interest. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange does not believe that 

the proposed rule change will result in 

any burden on competition not 


hsrobinson on DSK69SOYB1PROD with NOTICES
Federal Register / Vol. 75, No. 240 / Wednesday, December 15, 2010 / Notices 78297 

9 15 U.S.C. 78s(b)(3)(A). 

10 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. 

11 17 CFR 240.19b–4(f)(6)(iii). 

12 Id. 

13See The NASDAQ Stock Market LLC Rule 4617 

(opens at 7 a.m. EST). See also NASDAQ OMX BX 

Rule 4617 (opens at 8 a.m. EST), and NYSE Arca 

Equities Rule 7.34 (opens at 1 a.m. Pacific Time). 

14For the 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). 

15 17 CFR 200.30–3(a)(12). 

1 15 U.S.C. 78s(b)(1). 

2 17 CFR 240.19b–4. 

necessary or appropriate in furtherance 

of the purposes of the Act. 

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 after the date of 

the filing, or such shorter time as the 

Commission may designate, it has 

become effective pursuant to Section 

19(b)(3)(A) of the Exchange Act 9 and 

Rule 19b–4(f)(6) 10 thereunder. 

A proposed rule change filed under 

Rule 19b–4(f)(6) normally may not 

become operative prior to 30 days after 

the date of filing.11 However, Rule 19b– 

4(f)(6)(iii) permits the Commission to 

designate a shorter time if such action 

is consistent with the protection of 

investors and the public interest.12 The 

Exchange has requested that the 

Commission waive the 30-day operative 

delay. The Commission notes that 

Phlx’s proposal is substantially similar 

to the rules of other national securities 

exchanges and does not raise any new 

substantive issues. In addition, Phlx 

notes that other exchanges open their 

markets for entry of orders prior to 9 

a.m.,13 and, in order to be competitive, 

the Exchange would like to extend the 

same opportunity to its market 

participants. The Exchange would like 

to implement this proposed rule on 

December 13, 2010. Based on the 

foregoing, the Commission believes that 

waiving the 30-day operative delay is 

consistent with the protection of 

investors and the public interest and 

hereby designates the proposal 

operative upon filing.14

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 

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 http://www.sec.gov/

rules/sro.shtml; or 

• Send an e-mail to rule-comments@

sec.gov. Please include File Number SR– 

Phlx–2010–172 on the subject line. 

Paper Comments 

• Send paper comments in triplicate 

to Elizabeth M. Murphy, Secretary, 

Securities and Exchange Commission, 

100 F Street, NE., Washington, DC 

20549–1090. 

All submissions should refer to File 

Number SR–Phlx–2010–172. This file 

number should be included on the 

subject line if e-mail 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 Web site 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 Web site 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 

a.m. and 3 p.m. Copies of such filing 

also will be available for inspection and 

copying at the principal office of the 

Exchange. All comments received will 

be posted without change; the 

Commission does not edit personal 

identifying information from 

submissions. You should submit only 

information that you wish to make 

available publicly. All submissions 

should refer to File Number SR–Phlx– 

2010–172 and should be submitted on 

or before January 5, 2011. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.15

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. 2010–31454 Filed 12–14–10; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–63491; File No. SR–Phlx2010–173] 

Self-Regulatory Organizations; 

NASDAQ OMX PHLX LLC; Notice of 

Filing and Immediate Effectiveness of 

Proposed Rule Change To Extend the 

Pilot Period of Amendments to the 

Clearly Erroneous Transactions Rule 

December 9, 2010. 

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 December 

6, 2010, NASDAQ OMX PHLX LLC 

(‘‘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 the Substance 

of the Proposed Rule Change 

The Exchange proposes to extend the 

pilot period of recent amendments to 

Rule 3312, concerning clearly erroneous 

transactions, so that the pilot will now 

expire on April 11, 2011. 

The text of the proposed rule change 

is available on the Exchange’s Web site 

at http:// 

nasdaqomxphlx.cchwallstreet.com, at 

the principal office of the Exchange, at 

the Commission’s Public Reference 

Room, and at http://www.sec.gov. 

The text of the proposed rule change 

is below. Proposed new language is 


hsrobinson on DSK69SOYB1PROD with NOTICES