Joint Industry Plan; Notice of Filing and Order of Summary Effectiveness on a Temporary Basis Not To Exceed 120 Days of Proposed Twenty-Ninth Amendment to the National Market System Plan To Address Extraordinary Market Volatility To Revise the Time for Calculating the Consolidated Price in Connection With Overnight Trading

Issuing agencies

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<title>Federal Register, Volume 91 Issue 196 (Tuesday, October 13, 2026)</title>
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[Federal Register Volume 91, Number 196 (Tuesday, October 13, 2026)]
[Notices]
[Pages 65016-65017]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-20799]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-106624; File No. 4-631]


Joint Industry Plan; Notice of Filing and Order of Summary 
Effectiveness on a Temporary Basis Not To Exceed 120 Days of Proposed 
Twenty-Ninth Amendment to the National Market System Plan To Address 
Extraordinary Market Volatility To Revise the Time for Calculating the 
Consolidated Price in Connection With Overnight Trading

October 7, 2026.

I. Introduction

    On September 16, 2026, Nasdaq, Inc., on behalf of the following 
parties to the Plan to Address Extraordinary Market Volatility 
(``Plan'' or ``LULD Plan'') Pursuant to Rule 608 of Regulation NMS 
under the Securities Exchange Act of 1934 (``Act'' or ``Exchange Act'') 
\1\: 24X National Exchange LLC; Cboe BZX Exchange, Inc.; Cboe BYX 
Exchange, Inc.; Cboe EDGA Exchange, Inc.; Cboe EDGX Exchange, Inc.; 
Financial Industry Regulatory Authority, Inc.; Investors Exchange LLC; 
Long-Term Stock Exchange, Inc.; MEMX LLC; MIAX PEARL, LLC; Nasdaq PHLX 
LLC; Nasdaq Texas LLC; New York Stock Exchange LLC; NYSE American LLC; 
NYSE Arca, Inc.; NYSE National, Inc.; NYSE Texas, Inc.; Texas Stock 
Exchange LLC; and The Nasdaq Stock Market LLC (collectively, 
``Participants''), filed with the Securities and Exchange Commission 
(``Commission'') pursuant to Section 11A(a)(3) of the Exchange Act \2\ 
and Rule 608 thereunder,\3\ a proposal to amend the Plan (``Amendment 
No. 29'').\4\ Amendment No. 29 proposes to amend the Plan to revise the 
time of the Consolidated Price (as defined in the Plan) \5\ from 7:45 
p.m., Eastern Time to 7:30 p.m., Eastern Time. This order summarily 
puts into effect Amendment No. 29 on a temporary basis not to exceed 
120 days and solicits comment on Amendment No. 29 from interested 
persons.\6\
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    \1\ See Securities Exchange Act Release Nos. 67091, 77 FR 33498 
(June 6, 2012); 68953 (February 20, 2013), 78 FR 13113 (Feb. 26, 
2013); 69287 (April 3, 2013), 78 FR 21483 (Apr. 10, 2013); 70273 
(August 27, 2013), 78 FR 54321 (September 3, 2013); 70530 (September 
26, 2013), 78 FR 60937 (October 2, 2013); 71247 (January 7, 2014), 
79 FR 2204 (January 13, 2014); 71851 (April 3, 2014), 79 FR 19687 
(April 9, 2014); 74323 (February 19, 2015), 80 FR 10169 (February 
25, 2015); 76244 (October 22, 2015), 80 FR 66099 (October 28, 2015); 
77679 (April 21, 2016), 81 FR 24908 (April 27, 2016); 78703 (August 
26, 2016), 81 FR 60397 (September 1, 2016); 79845 (January 19, 
2017), 82 FR 8551 (January 26, 2017); 80455 (April 13, 2017), 82 FR 
18519 (April 19, 2017); 80549 (April 28, 2017), 82 FR 20928 (May 4, 
2017); 81720 (September 26, 2017), 82 FR 45922 (October 2, 2017); 
82887 (March 15, 2018), 83 FR 12414 (March 21, 2018); 83044 (April 
12, 2018), 83 FR 17205 (April 18, 2018); 85623 (April 11, 2019), 84 
FR 16086 (April 17, 2019); 88122 (February 5, 2020), 85 FR 7805 
(February 11, 2020); 88704 (April 21, 2020), 85 FR 23383 (April 27, 
2020); 89420 (July 29, 2020), 85 FR 46762 (August 3, 2020); 90068 
(October 1, 2020), 85 FR 63322 (October 7, 2020); 101036 (September 
16, 2024), 89 FR 77203 (September 20, 2024); 103042 (May 14, 2025), 
90 FR 21529 (May 20, 2025); 103845 (September 3, 2025), 90 FR 43254 
(September 8, 2025); 105443 (May 12, 2026), 91 FR 27995 (May 15, 
2026); 105762 (June 24, 2026), 91 FR 39142 (June 29, 2026); and 
106042 (August 5, 2026), 92 FR 51515 (August 10, 2026).
    \2\ 15 U.S.C 78k-1(a)(3).
    \3\ 17 CFR 242.608.
    \4\ See Letter from Andrew Oppenheimer, Head of U.S. Equities, 
Nasdaq, to Vanessa Countryman, Secretary, Commission, dated 
September 16, 2026 (``Transmittal Letter''). According to the 
Transmittal Letter, each of the Participants approved Amendment No. 
29 in accordance with Section III(C) of the Plan. The Participants 
also received and incorporated feedback from the Plan Advisory 
Committee in preparing Amendment No. 29. The Transmittal Letter and 
Amendment No. 29 are available on the Commission's website at: 
<a href="https://www.sec.gov/comments/4-631/4631-1050239-3581747.pdf">https://www.sec.gov/comments/4-631/4631-1050239-3581747.pdf</a>.
    \5\ ``Consolidated Price'' is currently defined as the 
consolidated last round lot sale price of an NMS Stock as of 7:45 
p.m., Eastern Time. See Section VIII(A)(2) of the LULD Plan. Unless 
otherwise stated, capitalized terms used herein are defined in the 
LULD Plan.
    \6\ A proposed amendment may be put into effect summarily upon 
publication of notice of such amendment, on a temporary basis not to 
exceed 120 days, if the Commission finds that such action is 
necessary or appropriate in the public interest, for the protection 
of investors or the maintenance of fair and orderly markets, to 
remove impediments to, and perfect mechanisms of, a national market 
system or otherwise in furtherance of the purposes of the Act. See 
17 CFR 242.608(b)(4).
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II. Description of the Plan

    The Participants filed the Plan with the Commission on April 5, 
2011, to create a market-wide limit up-limit down (``LULD'') mechanism 
intended to address extraordinary market volatility in NMS Stocks, as 
defined in Rule 600(b)(65) of Regulation NMS under the Exchange Act.\7\ 
The Plan sets forth procedures that provide for market-wide LULD 
requirements to prevent trades in individual NMS Stocks from occurring 
outside of the specified Price Bands.
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    \7\ 17 CFR 242.600(b)(65).
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    On May 27, 2026, the Participants filed a proposed amendment to the 
Plan to establish a framework for calculating and disseminating 
Overnight Price Bands in response to exchange proposals to conduct 
trading 23 hours per day 5 days per week, and the Commission approved 
that proposed amendment on August 5, 2026.\8\ The Participants intend 
to implement overnight price protections by December 6, 2026, when 
overnight trading on certain exchanges is expected to begin.
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    \8\ See Securities Exchange Act Release No. 106042 (August 5, 
2026), 92 FR 51515 (August 10, 2026) (``Amendment No. 27''). On the 
date of approval of Amendment No. 27, a commenter submitted a 
comment letter requesting that the Participants use 7:30 p.m., 
Eastern Time, consistent with current ATS, rather than 7:45 p.m., 
Eastern Time, as the time for calculating the Consolidated Price. 
See Letter from Matt Billings, President, Robinhood Financial LLC 
and Robinhood Securities, LLC, to Vanessa Countryman, Secretary, 
Commission, dated August 5, 2026 (``Robinhood Letter''). Comment 
letters on Amendment No. 27 to the Plan are available on the 
Commission's website at: <a href="https://www.sec.gov/comments/4-631/4-631.htm">https://www.sec.gov/comments/4-631/4-631.htm</a>.
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III. Description of Proposed Amendment No. 29 to the Plan

    In connection with the framework for calculating and disseminating 
Overnight Price Bands, Section VIII(A)(2) of the Plan provides that 
Overnight Price Bands for each NMS Stock will be calculated based on 
two Reference Prices: (i) the Listing Market's Official Closing Price 
of the NMS Stock, and (ii) the Consolidated Price (i.e., the 
consolidated last round lot sale as of 7:45 p.m. Eastern Time).
    In response to industry feedback, the Participants now propose to 
amend the definition of Consolidated Price to move up the reference 
time by 15 minutes

[[Page 65017]]

(from 7:45 p.m. to 7:30 p.m. Eastern Time) to align with current 
Alternative Trading System (``ATS'') practice.\9\ The Participants 
state that this change is appropriate to support trading on those ATSs 
that will continue to operate during the hours of 8:00 p.m. to 9:00 
p.m. (when the national securities exchanges will not operate) and that 
have indicated a desire to adopt similar price protections during that 
period.\10\ According to the Participants, the 7:30 p.m., Eastern Time 
snapshot for the Consolidated Price continues to fall at the end of the 
post-market session, and the Participants expect it to be similarly 
representative of prevailing market sentiment following the close of 
Regular Trading Hours as 7:45 p.m., Eastern Time. The Participants also 
state that the 7:30 p.m. time would improve materially the ability of 
ATSs and other venues to implement similar price bands that would be 
available from the 8:00 p.m. start of their overnight sessions.\11\
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    \9\ See Robinhood Letter, supra note 8. See also Transmittal 
Letter, supra note 4, at 3.
    \10\ See Transmittal Letter, supra note 4, at 3.
    \11\ See Transmittal Letter, supra note 4, at 6.
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    The Participants request that the Commission put into effect 
summarily pursuant to Rule 608(b)(4) this proposed amendment to provide 
certainty to market participants so that they can implement these 
changes on December 6, 2026, thus reducing operational risk and 
avoiding late system changes closer to the December deadline.\12\ No 
other changes are proposed.
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    \12\ See Transmittal Letter, supra note 4, at 4.
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IV. Discussion and Commission's Findings

    Pursuant to Rule 608(b)(4) of Regulation NMS,\13\ the Commission 
finds that it is appropriate to summarily put into effect Amendment No. 
29 upon publication of this notice on a temporary basis not to exceed 
120 days. The Commission finds that such action is appropriate in the 
public interest, for the protection of investors and the maintenance of 
fair and orderly markets, because it will facilitate implementation of 
Amendment No. 29 in conjunction with the implementation of Phase 1 of 
the Overnight Protections under the Plan in an orderly manner that 
reduces operational risk and avoids late system changes by market 
participants. Setting the Consolidated Price reference time at 7:30 
p.m., Eastern Time, instead of 7:45 p.m., Eastern Time, should provide 
certain ATSs, and market participants that connect to them, with an 
appropriate operational window to calculate, distribute, and consume 
price band data ahead of the commencement of the ATS overnight sessions 
at 8:00 p.m., Eastern Time and a reliable price against which ATSs are 
able to calibrate their systems and orders as the market transitions 
from the post-market session into overnight trading.
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    \13\ 17 CFR 242.608(b)(4). See supra note 6 and accompanying 
text.
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    The Participants will announce the operative date of Amendment No. 
29, which will be subject to the completion of certain systems changes 
by the Processors for the Unlisted Trading Privileges (UTP) Plan and 
Consolidated Tape Association (CTA) Plan.\14\ The Participants 
anticipate that Amendment No. 29 will become operative on December 6, 
2026.\15\
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    \14\ Rule 608(b)(2) requires the Commission to approve or 
disapprove a proposed amendment to a national market system plan. 
See 17 CFR 242.608(b)(2). The Commission will issue an order 
pursuant to Rule 608(b)(2) after considering comments on proposed 
Amendment No. 29.
    \15\ See Transmittal Letter, supra note 4, at 7.
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V. Solicitation of Comments

    Interested persons are invited to submit written data, views and 
arguments concerning the foregoing, including whether proposed 
Amendment No. 29 is consistent with the Exchange Act and the rules 
thereunder. Comments may be submitted by any of the following methods:

Electronic Comments

    <bullet> Use the Commission's internet comment form (<a href="https://www.sec.gov/rules/sro.shtml">https://www.sec.gov/rules/sro.shtml</a>); or
    <bullet> Send an email to <a href="/cdn-cgi/l/email-protection#7c0e091019511f1311111912080f3c0f191f521b130a"><span class="__cf_email__" data-cfemail="1260677e773f717d7f7f777c6661526177713c757d64">[email&#160;protected]</span></a>. Please include 
file number 4-631 on the subject line.

Paper Comments

    <bullet> Send paper comments in triplicate to Secretary, Securities 
and Exchange Commission, 100 F Street NE, Washington, DC 20549-1090.

All submissions should refer to File Number 4-631.This file number 
should be included on the subject line if email 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 website (<a href="https://www.sec.gov/rules/sro.shtml">https://www.sec.gov/rules/sro.shtml</a>). 
Copies of the filing will be available for inspection and copying at 
the principal office of the Exchange. Do not include personal 
information in submissions; you should submit only information that you 
wish to make available publicly. We may redact in part or withhold 
entirely from publication submitted material that is obscene or subject 
to copyright protection. All submissions should refer to File Number 4-
631 and should be submitted on or before November 3, 2026.

VI. Conclusion

    It is therefore ordered, pursuant to Section 11A of the Exchange 
Act \16\ and Rule 608(b)(4) thereunder,\17\ that Amendment No. 29 to 
the Plan (File No. 4-631) be, and it hereby is, put into effect 
summarily on a temporary basis not to exceed February 10, 2027
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    \16\ 15 U.S.C. 78k-1.
    \17\ 17 CFR 242.608(b)(4).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\18\
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    \18\ 17 CFR 200.30-3(a)(85).
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Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2026-20799 Filed 10-9-26; 8:45 am]
BILLING CODE 8011-01-P


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