(B) Floor brokers, in the execution of orders on the Exchange floor, must exercise reasonable
care and skill given the then current market condition, market values and the nature of the order.

(C) A floor broker or Clearing Member shall not be held responsible for the execution of a limit
order, stop limit order, stop order or conditional order unless such floor broker or Clearing
Member is guilty of negligence.

(D) Brokers shall not be responsible for the execution of orders on the Exchange floor to buy or
sell on the opening of the market or for cancellation of such orders, received later than five
minutes prior to the first opening call of any commodity, or in the case of options contracts,
received later than five minutes prior to the first opening of any option.

(E) Brokers shall not be responsible for the execution of any order, or for the cancellation of any
order on the Exchange floor, that is received on the trading floor later than five minutes prior to
the close of trading.

(F) Floor brokers shall not execute any order electronically or cause any order to be
executed electronically unless the customer has specifically requested electronic execution
or given venue discretion. Any order received on the trading floor which does not specify

whether the order is to be executed at open outcry or electronically will be deemed to be an
order for open outcry execution.



(1) Not Held Orders for Execution on Trading Floor:

(a) A Trading Member who obtains the agreement of his customer or his customer's agent prior
to acceptance of any order from such customer, that such order will be accepted only on a "Not
Held" basis, shall not be responsible to the customer for the execution or failure to execute such
order. However, a claim may be asserted against the Trading Member by the customer and/or the
Compliance Department, if the execution or the failure thereof, was done fraudulently or by
willful misconduct.

(b) Any order accepted on a "Not Held" basis must be so designated on the customer order ticket
at the time of receipt of such order.

(2) Nothing in this subsection (H) shall be construed as a limitation of the Exchange's
disciplinary authority.

) Venue.

(1) Any order received on the trading floor shall be deemed an order for execution by open
outcry in the relevant trading ring unless the customer, upon placing the order, indicates
that the order shall be for execution on another NYMEX trading venue. When a customer
places an order for execution on another NYMEX trading venue, the venue must be

designated on the order ticket.

(2) A Trading Member may accept from a customer discretion to choose the NYMEX
trading venue for execution of an order provided that:

(a) the Trading Member shall not be held to a best execution standard in exercising

that discretion, however, a claim may be asserted against the Trading Member by
the customer and/or the Compliance Department, if the execution or the failure

thereof, was done fraudulently or by willful misconduct, and
(b) any order accepted with discretion as to execution venue shall be designated

as such with the notation “DV” on the order ticket.

(3) Orders as described in paragraphs (A) through (F) of this rule, shall be executable

based solely on events occurring in the venue for which the order was placed.

Rule 6.16 - Obligations of Floor Brokers

(A) Members and Member Firms shall be responsible for exercising due diligence in the
execution of all executable customer orders as of the time the order was time stamped on the
Exchange Floor.


September 14, 2006

Via E-Mail

Office of the Acting Secretary
Commodity Futures Trading Commission
Three Lafayette Centre

1155 21st Street, N.W.

Washington, D.C. 20581

ary $ai0

Re: Rule Certification. NYMEX Submission 06.104: Notification
of Amendments to NYMEX Rules 6.00, 6.04, 6.15 and 6.16.

Dear Ms. Eileen Donovan:

The New York Mercantile Exchange ("NY MEX" or the "Exchange" is notifying the
Commodity Futures Trading Commission (“CFTC” or “Commission”) of amendments to
NYMEX Rules 6.00, Exchange Business Day; 6.04, Closing Range and Close; 6.15, Standard
Forms of Orders; and 6.16, Obligations of Floor Brokers.

Effective Friday, September 15, 2006, the amendments to the above-referenced rules
codify policies which have been in effect since the inception of side-by-side physical electronic
trading on CME GLOBEX® on September 4, 2006 for trade date September 5, 2006, and have
previously been addressed in Notices to Members 06-419, 06-450, 06-306, and 06-315,
respectively. Pursuant to Section 5c(c) of the Commodity Exchange Act (“Act”) and CFTC Rule

40.6, the Exchange hereby certifies that the attached rule amendments comply with the Act,
including regulations under the Act.

Should you have any questions concerning the above, please contact Nancy Minett, Vice
President, Compliance, at (212) 299-2940, or the undersigned at (212) 299-2897.

Very truly yours,

Thomas F. LaSala
Senior Vice President
Compliance and Risk Management

ce: Brian Regan
Nancy Minett

Vu

J
G3M

u

493


(Bold/underlining indicates additions, bold/strikethroughs indicate deletions.)
Rule 6.00 - Exchange Business Day

The Exchange business day shall include four three trading sessions: a NYMEX ACCESS®
trading session (COMEX Division products only);

a regular trading hours (RTH) trading session in-New-¥ork-and-a RTH trading session in
Dublin; and

a trading session on N¥MEX-ClearPert GLOBEX® Frading.

The trading day shall commence with the opening of trading on N¥MEX-ACCESS®-Fhe
NY¥MEX ACCESS® trading session-and/orthe NYMEX-ClearPert GLOBEX® Trading.
The GLOBEX® session for NYMEX certain products may extends inte through RTH. The
trading day will end at the close of the following session of RTH on the Exchange floor, or at the
end of the N¥MEX ACCESS GLOBEX® trading session, whichever is later. No business will
be conducted on Saturdays or Sundays with the exception of N¥MEX ACCESS GLOBEX®
trading on Sunday evening for the Purpose of commencing Monday’ 's business day and-withthe

h e ‘® ening. The Exchange
may be closed for one or more business days or trading sessions at any time by a vote of the
Board.

Rule 6.04 - Closing Range and Close

(A) Exeept-as-otherwise-speecified-in-paragraph(D)-of this rule, below, tThe closing range for
all products trading on the Floor shall include all trades made within the last two minutes of the
Regular Trading Hours trading session for all contracts and all bids higher than as well as offers
lower than any trade made within such periods; provided that with respect to the final day of
trading in energy futures contracts for delivery in the current delivery month, closing range shall
mean the last half hour of trading in such contracts.

(B) All time or contingent orders commencing with the start of the closing range shall be
considered as "market on close orders" and may be executed within the closing range.

(C)The "close" shall be the time for the end of each trading session for each Exchange
commodity as determined from time-to-time by the Board of Directors.

ith+th



tively—TFhe-el
ely

Hoth traet ths-shall in-the-fifth-fi }

: : t
grangen-alt ths-shal- ¥ Sst

;_On expiration day for a spot month contract trading on
GLOBEX®, trading in the spot month contract will cease at the close of Regular Trading

Hours.

Rule 6.15 - Standard Forms of Orders

(A) Market Order. A market order is an order to buy or sell a stated number of futures or options
contracts at the best price obtainable immediately after the order is received in the ring.

(B) Limit Order. A limit order is an order to buy or sell a stated amount of commodity futures or
options contracts at a specified price, or at a better price, if obtainable.

(C) Specified Time Order. A specified time order is an order to buy or sell a stated number of
futures or options contracts which, if not executed within the time specified in the order,
automatically expires. A specified time order includes, without limitation, a fill or kill order, an
order executable only on the opening, during the opening call or during the closing range.

(D) Stop Order. A stop order is an order to buy or sell a stated number of futures or options
contracts at the market when the market reaches a specified price. A stop order to buy becomes a
market order when a transaction in the contract occurs at or above the specified price after the
order is received in the ring or, if so specified by the customer, when a bid for the contract is
made at, or above the specified price. A stop order to sell becomes a market order when a
transaction in the contract occurs at or below the specified price. A Trading Member may not set
off any stop order in hand unless such Trading Member has an order for a customer, which by its
execution, would set off the stop price.

(E) Stop Limit Order. A stop limit order to buy becomes a limit order when after the order is
received in the ring, a transaction in the contract occurs at or above the specified price or, if so
specified by the customer, when a bid for the contract is made at or above the specified price. A
stop limit order to sell becomes a limit order executable at the limit price when after the order is
received in the ring a transaction in the contract occurs at or below the stop price or, if so
specified by the customer, when an offer for the contract is made at or below the specified price.

(F) Market-If-Touched Order. A market-if-touched order (MIT) is the same as a limit order
except that an MIT order becomes a market order, when after the order is received in the ring, a
transaction in the contract occurs at the specified price on the MIT order.

(G) Time and Price Discretion Order. A time and price discretion order is a market order or a
limit order to buy or sell a stated number of futures or options contracts in which a floor member
is to exercise his own judgment and discretion in determining the price and the time of execution
of the order.

(H) Not Held Orders.