Trading

SEC deals blow to NYSE and Nasdaq with ruling on 4pm closing trades

Regulator approves Cboe end-of-day auction proposal despite opposition from two largest exchanges

SEC deals blow to NYSE and Nasdaq with ruling on 4pm closing trades
Photo: iStockPhoto

Regulators have dealt a blow to the New York Stock Exchange and Nasdaq by loosening their grip on the
4pm closing auctions that determine end-of-day prices for thousands of stocks.

The Securities and Exchange Commission said Tuesday that it would allow a rival exchange group, Cboe Global Markets to implement a mechanism that lets traders bypass paying fees to NYSE and Nasdaq when they seek to buy or sell shares at daily closing prices.

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