8158 Federal Register / Vol. 75, No. 35 / Tuesday, February 23, 2010 / Notices 

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

10 17 CFR 240.19b–4(f)(6). Pursuant to Rule 19b– 

4(f)(6)(iii) under the Act, the Exchange is required 

to give the Commission written notice of its 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 Exchange 

has satisfied this requirement. 11 17 CFR 240.19b–4(f)(6). 12 17 CFR 240.19b–4(f)(6)(iii). 13See Section 202.06 of the NYSE Listed 

Company Manual, which requires pre-notification 

to the NYSE for disclosures ‘‘made shortly before 

the opening or during market hours (presently 9:30 

a.m. to 5 p.m., New York time).’’ 

14For purposes only of waiving the 30-day 

operative delay, the Commission has considered the 

proposed rule’s impact on efficiency, competition, 

and capital formation. 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. 

interest, while eliminating an 

unnecessary procedural requirement. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

Nasdaq does not believe that the 

proposed rule change will result in any 

burden on competition that is not 

necessary or appropriate in furtherance 

of the purposes of the Act, as amended. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

Written comments were neither 

solicited nor received. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

Because the proposed rule change: (i) 

Does not significantly affect the 

protection of investors or the public 

interest; (ii) does not impose any 

significant burden on competition; and 

(iii) does not become operative for 30 

days after the date of the filing, 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 9 and Rule 19b– 

4(f)(6) thereunder.10

A proposed rule change filed 

pursuant to Rule 19b–4(f)(6) under the 

Act 11 normally does not become 

operative for 30 days after the date of its 

filing. However, Rule 19b–4(f)(6)(iii) 12

permits the Commission to designate a 

shorter time if such action is consistent 

with the protection of investors and the 

public interest. The Exchange has 

requested that the Commission waive 

the 30-day operative delay. 

The Commission believes that 

waiving the 30-day operative delay is 

consistent with the protection of 

investors and the public interest. In 

making this determination, the 

Commission notes that Nasdaq’s 

proposed rule change is similar to and 

consistent with the NYSE’s rule 

regarding pre-notification to the 

Exchange for release of material 

information,13 and the Commission 

believes that the Nasdaq’s proposed rule 

change raises no new regulatory issues. 

The Commission also believes that 

providing pre-notification to Nasdaq 

outside of market hours, except ten 

minutes prior to opening, provides no 

regulatory benefit, since such 

notifications would not be reviewed by 

Nasdaq staff overnight or until such 

time that Nasdaq staff was on duty, 

which is likely only shortly prior to the 

beginning of market hours. In addition, 

given that one of the primary purposes 

of this notice is to allow MarketWatch 

staff to assess whether it is appropriate 

to implement a trading halt, such 

notification would only be necessary 

shortly before the opening, as the rule 

contemplates, to allow Nasdaq staff to 

make this determination. For these 

reasons, the Commission designates that 

the proposed rule change become 

operative immediately upon filing.14

At any time within 60 days of the 

filing of the proposed rule change, the 

Commission may summarily abrogate 

the 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. 

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 rulecomments@sec.gov. Please include File 

Number SR–NASDAQ–2010–008 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–NASDAQ–2010–008. 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, on official business 

days between the hours of 10 a.m. and 

3 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; 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–NASDAQ–2010–008 and 

should be submitted on or before March 

16, 2010. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.15

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. 2010–3394 Filed 2–22–10; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–61522; File No. SR–ISE– 

2010–12] 

Self-Regulatory Organizations; 

International Securities Exchange, 

LLC; Notice of Filing and Immediate 

Effectiveness of Proposed Rule 

Change To Modify Trading Hours for 

Foreign Currency Options 

February 16, 2010. 

Pursuant to Section 19(b)(1) of the 

Securities Exchange Act of 1934 (the 

‘‘Act’’),1 and Rule 19b–4 thereunder,2

notice is hereby given that on February 

2, 2010, the International Securities 

Exchange, LLC (the ‘‘Exchange’’ or the 

‘‘ISE’’) filed with the Securities and 

Exchange Commission (‘‘Commission’’) 

the proposed rule change, as described 

in Items I, II, and III below, which items 

mstockstill on DSKH9S0YB1PROD with NOTICES

Federal Register / Vol. 75, No. 35 / Tuesday, February 23, 2010 / Notices 8159 

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

4 17 CFR 240.19b–4(f)(6). 

5The Bureau of Labor Statistics releases 

Consumer Price Index (CPI) data at 8:30 a.m. 

Eastern time, and the Bureau of Economic Analysis 

releases quarterly Gross Domestic Product data at 

8:30 a.m. Eastern time. Similarly, Statistics Canada 

releases Canadian CPI data at 7 a.m. Eastern time. 

6CME’s trading hours are available at http:// 

www.cmegroup.com/trading_hours/fx-hours.html. 

7 15 U.S.C. 78s(b)(3)(A). 

8 17 CFR 240.19b–4(f)(6). 

have been prepared by the Exchange. 

The Exchange has filed the proposal as 

a ‘‘non-controversial’’ proposed rule 

change pursuant to Section 

19(b)(3)(A)(iii) of the Act 3 and Rule 

19b–4(f)(6) thereunder.4 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 ISE 

Rule 2210 regarding the trading hours 

for foreign currency options (‘‘FX 

Options’’) traded on the Exchange. The 

text of the proposed rule change is 

available on the Exchange’s Web site 

http://www.ise.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 

self-regulatory organization 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 this filing is to amend 

ISE Rule 2210 regarding the trading 

hours for FX Options traded on the 

Exchange. Currently, under ISE Rule 

2210(a), FX Options may be traded on 

the Exchange between the hours of 9:30 

a.m. and 4:15 p.m. Eastern time, except 

on the last day of trading during 

expiration week, in which case trading 

ceases at 12 p.m. Eastern time. ISE now 

proposes to open trading in FX Options 

at 7:30 a.m. Eastern time, two hours 

earlier than the current opening time. In 

support of this proposed rule change, 

ISE will ensure that quotes and trades 

are disseminated over the Options Price 

Reporting Authority during the time FX 

Options are open for trading on the 

Exchange. Further, the Exchange notes 

that FX Options are listed and traded 

only on ISE. As such, (1) FX Options are 

not fungible with foreign currency 

options listed by any other exchange, 

and (2) orders in FX Options will not 

trade at inferior prices, thus preserving 

intermarket protection against tradethroughs. 

In support of this proposed rule 

change, the Exchange notes that there 

are several market centers that account 

for a significant portion of all foreign 

exchange transactions and which are 

active in the foreign exchange markets 

prior to the Exchange’s current opening 

time. By opening trading in FX Options 

at 7:30 a.m. Eastern time, ISE hopes to 

attract new participants and liquidity 

from Western Europe, specifically the 

United Kingdom. According to the Bank 

for International Settlements’ Triennial 

Central Bank Survey of Foreign 

Exchange and Derivatives Market 

Activity in 2007, trading activity in the 

United Kingdom accounts for 

approximately 34% of foreign exchange 

transactions. Although foreign exchange 

trading occurs 24 hours a day, trading 

activity at each market center is 

consolidated into approximately 8–10 

hours per day. In the United Kingdom, 

specifically in London, the most active 

trading times correspond to between 2 

a.m. Eastern time and 12 p.m. Eastern 

time. In the United States, specifically 

in New York, trading is most active 

between 8 a.m. Eastern time and 5 p.m. 

Eastern time. The overlap in trading 

hours between the two market centers 

results in a period of concentrated 

liquidity and is often considered a peak 

time for transactions in the foreign 

exchange market. That hypothesis is 

also supported by the fact that key 

economic statistics for North America 

are traditionally released prior to 9:30 

a.m. Eastern time.5

Foreign currency futures listed on the 

Chicago Mercantile Exchange (‘‘CME’’) 

and the Intercontinental Exchange 

(‘‘ICE’’) are available for trading virtually 

24 hours a day. The CME also provides 

virtually an all day market for trading in 

options contracts on foreign currency 

futures.6 Several ISE members are also 

members of CME and ICE, and actively 

trade foreign exchange derivative 

products at those two exchanges. ISE 

believes amending its rule to allow for 

an earlier opening will attract greater 

participation in the Exchange’s FX 

Options. 

2. Statutory Basis 

The basis under the Securities 

Exchange Act of 1934 (‘‘Exchange Act’’) 

for this proposed rule change is found 

in Section 6(b)(5). Specifically, the 

Exchange believes the proposed rule 

change is consistent with Section 6(b)(5) 

requirements that the rules of an 

exchange be designed to promote just 

and equitable principles of trade, serve 

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. In particular, 

permitting trading to begin earlier in the 

day will permit investors greater 

opportunity to participate in the market, 

thereby removing an impediment to 

trading. 

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

The proposed rule change does not 

impose any burden on competition that 

is not 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 

The Exchange has not solicited, and 

does not intend to solicit, comments on 

this proposed rule change. The 

Exchange has not received any 

unsolicited written comments from 

members or other interested parties. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

Because the foregoing proposed rule 

change does not significantly affect the 

protection of investors or the public 

interest, does not impose any significant 

burden on competition, and, by its 

terms, does not 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) 7 of the Act and Rule 19b– 

4(f)(6) 8 thereunder. The Exchange 

provided the Commission with written 

notice of its 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 the proposed 

rule change. 

At any time within 60 days of the 

filing of the proposed rule change, the 

Commission may summarily abrogate 

such rule change if it appears to the 

Commission that such action is 

mstockstill on DSKH9S0YB1PROD with NOTICES

8160 Federal Register / Vol. 75, No. 35 / Tuesday, February 23, 2010 / Notices 

9 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

3The Commission notes that the ‘‘typographical 

error’’ is more accurately characterized as a drafting 

error by Nasdaq that resulted in the omission and 

misplacement of rule language. 

4See SR–NASDAQ–2010–014 (January 26, 2010), 

Securities Exchange Act Release No. 61515 

(February 12, 2010). 

5SR–NASDAQ–2010–014 (January 26, 2010). 

6Securities Exchange Act Release No. 60430 

(August 4, 2009), 74 FR 40279 (August 11, 2009) 

(SR–NASDAQ–2009–072). 

necessary or appropriate in the public 

interest, for the protection of investors, 

or otherwise in furtherance of the 

purposes of the Act. 

IV. Solicitation of Comments 

Interested persons are invited to 

submit written data, views and 

arguments concerning the foregoing, 

including whether the proposal 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 rulecomments@sec.gov. Please include File 

No. SR–ISE–2010–12 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 No. 

SR–ISE–2010–12. 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 changes 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 ISE. 

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 No. 

SR–ISE–2010–12 and should be 

submitted on or before March 16, 2010. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.9

Florence E. Harmon, 

Deputy Secretary. 

[FR Doc. 2010–3465 Filed 2–22–10; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–61524; File No. SR– 

NASDAQ–2010–015] 

Self-Regulatory Organizations; The 

NASDAQ Stock Market LLC; Notice of 

Filing of Proposed Rule Change To 

Apply Retroactively a Correction of a 

Typographical Error in Rule 7018 

February 16, 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 January 

26, 2010, The NASDAQ Stock Market 

LLC (‘‘NASDAQ’’) filed with the 

Securities and Exchange Commission 

(‘‘Commission’’) the proposed rule 

change as described in Items I, II, and 

III below, which Items have been 

prepared by NASDAQ. 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 

NASDAQ is filing a proposed rule 

change to apply retroactively to the 

period from July 24, 2009 through 

January 25, 2010 the correction made by 

SR–NASDAQ–2010–014 of a 

typographical error 3 formerly in Rule 

7018.4 There is no proposed rule text. 

II. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

In its filing with the Commission, 

NASDAQ 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. 

NASDAQ 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 

NASDAQ recently submitted an 

immediately effective filing to correct a 

typographical error in Rule 7018.5 The 

purpose of this filing is [sic] apply the 

correction of the typographical error 

retroactively to the period from July 24, 

2009 through January 25, 2010. 

In SR–NASDAQ–2009–072,6

NASDAQ submitted a proposed rule 

change to make clerical changes 

designed to streamline and simplify 

Rule 7018. As stated in the ‘‘Purpose’’ 

section of NASDAQ’s Form 19b–4 filing, 

‘‘[n]one of the clerical changes will 

modify any fee assessed or credit earned 

for trading on the NASDAQ Market 

Center.’’ However, due to a 

typographical error, Exhibit 5 

introduced inaccuracies into the 

provisions of the rule describing the fees 

for orders in securities listed on the 

New York Stock Exchange (‘‘NYSE’’) that 

are routed to other venues without 

attempting to execute in NASDAQ for 

the full size of the order prior to routing. 

This portion of the fee schedule had 

previously been divided between 

sections governing fees for orders in 

NYSE-listed securities executed at 

NYSE and fees for orders executed at 

other venues. Both sections had 

included catch-all provisions governing 

‘‘other’’ orders that did not fit into more 

defined categories of routed orders; 

these catch-all provisions apply 

specifically to directed orders that are 

not designated as intermarket sweep 

orders (i.e., immediate-or-cancel orders 

that are directed to route to a venue 

specified by the member, and that may 

be executed by the receiving venue only 

if its quotation is at the national best bid 

or offer). In the case of such orders 

routed to NYSE, the fee is either $0.0020 

per share executed, or $0.0019 per share 

executed for members with an average 

daily volume through the Nasdaq 

Market Center in all securities during 

the month of more than 35 million 

shares of liquidity provided. In the case 

of such orders routed to other venues, 

the fee is $0.0035 per share executed. 

However, language describing the fee for 

routing to other venues was 

mstockstill on DSKH9S0YB1PROD with NOTICES