Nasdaq and NYSE sue SEC over planned overhaul of public data feeds

Court filings show that Nasdaq Inc and the New York Stock Exchange have each sued the Securities and Exchange Commission, in a bid to block a plan by the regulator to overhaul public data feeds that broadcast stock prices to investors.

The SEC plan, approved in December, would see that supply and demand data for stocks would be added to public feeds, broadening access to the information which the exchanges currently sell to professional traders at a premium.

The filings were made in the U.S. Court of Appeals for the District Of Columbia Circuit.

According to the Wall Street Journal, Cboe Global Markets, which operates the Chicago Board Options Exchange, was also suing the SEC over the issue.

The lawsuit is the latest legal action taken by the exchanges against the SEC in recent years, which include a successful challenge to a proposed experiment by the SEC to cap trading fees on 1,400 different stocks.

The SEC is also dealing with other suits. In October, Citadel Securities sued the commission over its decision to approve a new mechanism for trading stocks at exchange operator IEX Group Inc.