Effective tomorrow, Friday, February 6, 2009, the Exchange is implementing a single-print close designed to reduce the manual processing required of the DMM to close a security. As a result, the imbalance (if any) of paired-off closing transaction and stop orders elected for execution on the close will now be reported to the Tape as a single transaction and print.
The Exchange anticipates that consolidation of the separate transactions and prints will increase the efficiency of the closing process, resulting in speedier reporting of closing transactions.
Previously, multiple closing prints were used to provide information about share imbalances that impacted the closing price of a security on the Exchange. In May 2008, the Exchange implemented a data feed of real-time order imbalances that accumulate prior to the close of trading. This data feed begins at 3:40 pm and is disseminated every 15 seconds from 3:40 pm to 3:50 pm, and every five seconds thereafter until 4:00 pm. Because this order imbalance information achieves the goal of providing real time detail and transparency, the Exchange has determined that multiple prints on the Close are no longer necessary.
In connection with this change, the Exchange has amended Rules 116 (“Stop” Constitutes Guarantee) and 123C (Market On The Close Policy and Expiration Procedures) to create a single closing print to be reported to the Consolidated Tape for each security.
For additional information please see
NYSE Regulation Information Memo # 09-5
Category: Operations, Product News
