On October 13th, the SEC issued an order instituting proceedings to determine whether to disapprove NASDAQ Stock Market's proposed adoption, on a pilot basis, of a volatility-based trading halt for 100 Nasdaq-listed securities. Under the proposal, Nasdaq would suspend trading in a security if a trade in that security is executed at a price that exceeds a certain threshold, as measured over the preceding 30 seconds. The triggering threshold varies according to the price of the security. If the Volatility Guard were triggered, Nasdaq would suspend trading in that security for a period of 60 seconds, but would maintain all current quotes and orders during that time, and would continue to accept quotes and orders. Following this 60-second period, Nasdaq would re-open the market using its Halt Cross mechanism. According to Nasdaq, the Volatility Guard is similar in purpose to the Liquidity Replenishment Points rules that currently exist on the New York Stock Exchange. Comments should be submitted within 45 days after publication in the Federal Register, which is expected during the week of October 18. SEC Release No. 34-63098.