Steve Crutchfield, chief executive at NYSE Amex, says exchanges should coordinate their market-maker obligations to prevent issues. In February, NYSE Amex experienced an incident that resulted in erroneous prices on more than 31,000 options contracts. "What we need to consider as an industry is whether exchanges should have the ability to reject market-maker quotes that are erroneous relative to the prevailing price," Crutchfield says. "While there are already obligations to quote spreads no wider than $5, there is nothing to prevent a market maker crossing through another market-maker's quoted spread."

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