Notice to Members
Notice No. 291
07/16/2003
Proposed Amendment to COMEX Rule 4.42, "Matched Orders"
Attached please find a proposed amendment to COMEX Rule 4.42, "Matched Orders" which expands the period in which Matched Orders ("MOs") in the Grade 1 Copper Futures Contract shall be made by open out-cry trading from the five minute period prior to the commencement of the closing period to the twenty-nine minute period prior to the commencement of the closing period. With respect to MOs in the Aluminum Futures Contract, the trading period would remain five minutes prior to the commencement of the closing period.

The proposed amendment to COMEX Rule 4.42, "Matched Orders" affects a "Special Matter" under the terms of the COMEX By-Laws. Accordingly, COMEX Division Members have ten (10) days to submit a petition signed by owners of at least 155 COMEX Division Memberships requesting a vote of the COMEX Division Members to disapprove the amendments, pursuant to the procedures set forth under COMEX By-Law 205(D). If a petition is not received, or if the amendment is not disapproved, it will be submitted to the Commodity Futures Trading Commission (CFTC).

If you have any questions, please contact Dawn Lowe at 212-299-2370, Donna Talamo at 212-299-2372 or Albert J. Getz at 212-299-2608.


PROPOSED CHANGES TO COMEX RULE 4.42

(Bold indicates additions; strikethrough indicates deletions)

4.42 Matched Orders

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(b) Matching of Orders. Subject to sections (a) and (e) of this rule, a floor member intending to purchase or sell a contract at the market price during the closing period may enter into a transaction, either by agreement trading with another floor member or, subject to Rule 4.24, by means of a cross trade, for which the execution price will be determined as provided in section (c) of this rule. Any such agreement trading or cross trade (collectively referred to as a "matched order" or "MO") shall be made by open outcry during the five (5) minute period prior to the commencement of the closing period in the trading ring designated for trading in the particular contract aluminum futures and during the twenty-nine (29) minute period prior to the commencement of the closing period in copper futures.

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[the balance of the Rule remains the same]

Should you have any questions or require any further information, please contact exchangeinfo@nymex.com