Subject: File No. S7-08-09
From: D Pines

August 28, 2009

Although I fundamentally disagree with restrictions to short sellers, it does appear as if something will be done in order to put the Politicians/General Public (who do not seem to understand this issue at all) at ease. Therefore, I feel the Circuit Breaker approach is the ONLY approach that makes any sense.
In regard to which Price Test Restriction should be implemented (Uptick Rule, Alternative Uptick Rule, or Bid Test Rule) - the Bid Test Rule would make the most sense in the current Global Electronic Market place. However, this should ONLY be implemented in a 'Circuit Breaker' approach. If any of these price test restrictions were implemented in a Market Wide approach (especially Uptick or Alternative Uptick Rule), the loss of volume to the markets could be devastating.
We have the best and most equitable markets in the world for a reason. Please do not destroy that by instituting unnecessary restrictions.
Thank You.