Notice #00-386
November 8, 2000

TO:
ALL NYMEX DIVISION MEMBERS
ALL NYMEX DIVISION CLEARING MEMBERS
ALL MEMBER FIRMS

FROM: Neal Wolkoff, Executive Vice-President

SUBJECT: EXCHANGE TO ALLOW STRIP TRADING IN PROPANE
______________________________________________________________________________
___

The Exchange has received approval from the Commodity Futures Trading 
Commission to allow strip trading in the Propane Contract.  The rule 
amendment is attached below.

This rule amendment will become effective beginning on Friday, November 10th.

If you have any questions, please contact Daniel Brusstar at (212) 299-2604.


RULE AMENDMENT
(ALL CAPS represents an addition, and [brackets] a deletion)

NYMEX Floor Rules
Rule 6.08D.   STRIP TRANSACTIONS

(A) Definition:  A strip transaction shall consist of either the simultaneous 
purchase or sale of an equal number of contracts in each of two or more 
consecutive contract months for crude oil futures, natural gas futures, 
heating oil futures, gasoline futures, PROPANE FUTURES, or electricity 
futures for a single account that is quoted and traded at a single price.

(B) Floor Members executing strip transactions shall properly record them in 
writing so as to permit the identification of the strip transactions and the 
parties thereto.  All strip transactions for futures contracts for crude oil, 
natural gas, heating oil, gasoline, PROPANE, or electricity on the Exchange 
trading floor must be made by open outcry in the trading rings for crude oil, 
natural gas, heating oil, gasoline, PROPANE, or electricity, as applicable.  
All strip transactions must be in line with prevailing contract prices for 
strip transactions and the prices of futures contracts for crude oil, natural 
gas, heating oil, gasoline, PROPANE, or electricity, as applicable, 
comprising the strip transaction shall be within the permissible price limits 
of the contract months traded.

(C) The seller in each strip transaction must report on the hard copy ply of 
his or her trading card the price of the strip transaction to the Exchange.  
The Exchange shall then assign the prices for each of the crude oil, natural 
gas, heating oil, gasoline, PROPANE, or electricity futures contracts months 
comprising the strip transaction pursuant to a methodology as established by 
the Exchange.

(D) Except as provided in Rule 6.08C(C), strip transactions shall not set off 
stops in any contract.



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