4th UPDATE: US Exchanges Plan To Open For Normal Trading Monday

U.S. financial exchanges Sunday confirmed a joint plan to open markets for a normal day of trading Monday, after the worst of Tropical Storm Irene swept past New York City.

A brief conference call was convened Sunday among major market operators and authorities, in which exchange executives confirmed that trading systems were viable and facilities generally undamaged by the biggest storm to strike the U.S. financial hub in years.

"The securities exchanges have informed the SEC that they will open for regular hours on Monday," said John Nester, spokesman for the Securities and Exchange Commission.

NYSE Euronext (NYX), Nasdaq OMX Group Inc. (NDAQ), BATS Global Markets and Direct Edge, together overseeing 72% of U.S. stock trade and about 51% of options, said in separate statements Sunday that the decision was made in unison and with the approval of market regulators.

"We have affirmed the integrity of our exchange infrastructure, which includes our data centers, and have also been in close contact with regulators and other exchanges and fully expect that Direct Edge will open for normal trading operations tomorrow," said Bryan Harkins, chief operating officer of the Jersey City, N.J.-based company, in a statement.

Exchanges and regulators planned to stay in touch throughout the day Sunday, with major market participants such as banks, brokerage firms and electronic-trading specialists as they made ready to do business Monday, when many in the New York region are expected to work remotely as transportation capabilities are restored. Monday's trading session could see lighter activity than normal as many traders may be unable to get to their screens or disaster recovery sites because of ongoing transportation snarls.

Downgraded from a hurricane to a tropical storm early Sunday, Irene brought flooding to some streets in Lower Manhattan but the impact was far from the worst-case scenario that had been envisioned in recent days, as low-lying areas were evacuated and public transit was halted.

"The opening bell will ring on the trading floor of the New York Stock Exchange at 9:30 a.m. ET on Monday morning," NYSE Euronext told traders in a notice Sunday. Officials from Deutsche Bank AG (DB, DBK.XE), with offices a few blocks from the NYSE's downtown base, will preside over the opening, a spokesman for the Big Board said.

The New York Mercantile Exchange, housed along the western waterfront on the south end of Manhattan, will also open for a normal session of futures trade Monday, according to a notice from parent CME Group Inc. (CME). The Securities Industry and Financial Markets Association, which represents major U.S. brokerages, said in a statement that it expected bond markets to run as per usual Monday.

Data center facilities that house exchanges' trade-matching engines, as well as systems that feed orders sent by banks and high-frequency traders, weathered Irene's wind and rain with relatively little damage, according to David Morgan, head of North American operations for data center company Equinix Inc. (EQIX). Equinix houses systems for several exchanges and trading platforms in its NY4 facility in Secaucus, N.J.

"A few gallons of water" seeped in across five Equinix data center facilities located around Washington, Philadelphia and New York, he said, though the moisture was easily captured by the buildings' water-diversion systems.

"There was no damage to any customer or Equinix equipment," said Morgan, who observed Irene from the company's Washington site. The robust buildings are outfitted with cots and military-style food rations, though Morgan said he suspected most employees opted for vending-machine fare.

The four New York-area data centers run by Telx Group Inc., also home to some exchange operations, remained on utility power throughout the weekend's storm and sustained no significant damage, according to Michael Terlizzi, Telx's executive vice president of engineering and construction.

A spokesman for NYSE Euronext, which last year opened a data center facility of its own on high ground in Mahwah, N.J., reported no damage to the structure or systems inside.

-By Jacob Bunge, Dow Jones Newswires; 312-307-4879; jacob.bunge@dowjones.com

--Tom Barkley and Cynthia Lin contributed to this article.

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