Notice to Members
Notice No. 46 02/03/2005
Proposed Amendments to COMEX Division Rule 104.42, Matched Orders
The Executive Committee and the Board of Directors, at their respective meetings on February 1 and 2, 2005, approved recommendations from the COMEX Governors of amendments to COMEX Rule 104.42, Matched Orders. The proposed rule amendments rectify an inconsistency between the language of the existing rule and how Copper Market-on-Close Orders ("MOC") are typically placed during Regular Trading Hours. Presently, when a customer places an MOC order, the customer and the Floor Broker understand that the order may be executed either on the close or as a Matched Order ("MO"), thereby receiving the average of the closing range. The proposed amendments clearly define the rights and responsibilities of Floor Broker and customer when holding an MOC. Further, the period wherein an MO can be executed has been decreased, from 29 minutes to 14 minutes. The rule requires a customer, entering an order for execution on the close only to designate the order as MOC only. Likewise, if a customer with an MO order does not want the unfilled portion of his MO order to be executed MOC, the order must be designated MO only. An additional amendment to Rule 104.42 conforms MO pricing to existing COMEX settlement procedures. The proposed amendments to COMEX Division Rule 104.42 affect 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. To view the proposed amendments, please click here.
Should you have any questions or require any further information, please contact exchangeinfo@nymex.com