2025-16996Notice

NYSE Cuts Order Cancellations for Smoother Options Trading

Published Date: 9/5/2025

Notice

Summary

NYSE American is changing how it handles Market Orders by removing a rule that automatically cancels or rejects some of these orders during trading. This update affects traders using Market Orders on the exchange and takes effect immediately, making order processing smoother without extra fees. It’s a smart move to keep trading fast and fair!

Analyzed Economic Effects

2 provisions identified: 2 benefits, 0 costs, 0 mixed.

Market Orders More Likely To Execute

The Exchange deleted a validation in Rule 900.3NYP that would reject or cancel a Market Order when there were no contra-side Market Maker quotes on the Exchange or no contra-side ABBO (Away Best Bid or Offer). This means Market Orders arriving during continuous trading may now execute against resting orders on the Consolidated Book, increasing execution opportunities for inbound Market Orders and resting Customer interest.

Rule Took Effect Immediately; Short Review Window

The proposed change was filed on August 25, 2025 and became effective upon filing; it is operative for 30 days from filing (until September 24, 2025). The Commission may temporarily suspend the change at any time within 60 days of filing and may institute proceedings to determine approval or disapproval.

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Key Dates

Effective Date
Published Date
8/25/2025
9/5/2025

Department and Agencies

Department
Independent Agency
Agency
Securities and Exchange Commission
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