NYSE National expands clearly erroneous trade protections to overnight hours

On September 14, 2026, NYSE National, Inc. filed a proposed amendment to Rule 7.10 (Clearly Erroneous Executions) with the Securities and Exchange Commission (Release No. 34-106441; File No. SR-NYSENAT-2026-27). The filing was published in the Federal Register on September 21, 2026 (Vol. 91, No. 184, pp. 60673-60676; FR Doc No: 2026-19510) and is effective immediately.

The amendment is prompted by the Commission's August 5, 2026 approval of Overnight Protected Bands for 23/5 Trading under the Limit Up-Limit Down (LULD) Plan. The overnight bands are temporary static bands set at 20% above and below two reference points and apply from 9:00 p.m. ET through 4:00 a.m. ET.

NYSE National proposes to add the definitions "LULD Protected Hours" (covering the Core Trading Session) and "Overnight Protected Hours" (the overnight band period) to Rule 7.10(c)(1). It also replaces the phrase "Core Trading Session" with "LULD Protected Hours," thereby extending the rule's restriction on clearly erroneous review to transactions executed during overnight protected hours. The amendment updates the "Percentage Parameter" reference to include the Overnight Percentage Parameter applicable to those hours.

Further, the Exchange seeks to revise Rule 7.10(c)(2), (d)(3) and (f) by substituting language that limits review of transactions in NMS stocks not subject to the LULD Plan to "transactions occurring during the Early or Late Trading Session or during LULD Protected Hours in NMS Stocks not subject to the LULD Plan." These changes mirror existing treatment for the Core Trading Session and are described as non-substantive.

The Commission is soliciting comments on the proposed rule change from interested persons, as required by Section 19(b)(1) of the Securities Exchange Act of 1934 and Rule 19b-4.