NYSE, NYFE MOVE INDEX FUTURES/OPTIONS EXPIRATION
The <New York Stock Exchange> said it
and its <New York Futures Exchange> affiliate will move the
expiration of their respective index options and index futures
contracts to the opening of trading in the underlying stock on
expiration Friday from the close of trading.
    The exchange said it has submitted the changes to the
Securities and Exchange Commission and the Commodity Futures
Trading Commission for approval.
    The exchange said, "The NYSE has long advocated settlement
in the morning rather than at the close of trading as a
practical way to deal with order imbalances and price
volatility which historically occur on triple witching days."
    The "triple witching hour" falls four times a year when
stock options, index options and futures on index options all
expire on the third Friday of every month, leading to major
last-hour market swings.  On the last triple witching Friday,
December 19, the NYSE traded almost 85 mln shares at the close
of the market.  The next triple witching hour will take place
Friday March 20.
    The exchange said, "Morning settlement would expose order
imbalances to the full sunlight of public disclosure, ensure
the broadest dissemination of market information and facilitate
the participation of all interested investors."
 Reuter
