Rule Submissions to the CFTC

June 2, 2003

Via Federal Express

Ms. Jean A. Webb

Secretariat
Commodity Futures Trading Commission
Three Lafayette Centre
1155 21^st Street, N.W.
Washington, DC 20581

Re: National Futures Association: Proposed Amendments to NFA Bylaws 306 and 1301, NFA Compliance Rule 2-36 and Section 1 of NFA's Code of Arbitration, and Proposed Adoption of Sections 11 and 12 of NFA Financial Requirements and an Interpretive Notice entitled, "Forex Transactions with Forex Dealer Members" *

Dear Ms. Webb:

Pursuant to Section 17(j) of the Commodity Exchange Act, as amended, National Futures Association ("NFA") hereby submits to the Commodity Futures Trading Commission ("CFTC" or "Commission") proposed amendments to NFA Bylaws 306 and 1301, NFA Compliance Rule 2-36 and Section 1 of NFA's Code of Arbitration, and the proposed adoption of Sections 11 and 12 of NFA Financial Requirements and an Interpretive Notice entitled, "Forex Transactions with Forex Dealer Members." The proposals were unanimously approved by NFA's Board of Directors ("Board") on May 15, 2003. NFA respectfully requests Commission review and approval of the proposals.

PROPOSED RULE AMENDMENTS

FOREX TRANSACTIONS WITH FOREX DEALER MEMBERS
INTERPRETIVE NOTICE

EXPLANATION OF PROPOSALS

NFA respectfully requests that the Commission review and approve the proposed amendments to NFA Bylaws 306 and 1301, NFA Compliance Rule 2-36 and Section 1 of NFA's Code of Arbitration, and the proposed adoption of Sections 11 and 12 of NFA Financial Requirements and an Interpretive Notice entitled, "Forex Transactions with Forex Dealer Members". NFA also requests that the proposals be declared effective upon Commission approval.

Respectfully submitted,

Thomas W. Sexton
Vice President and General Counsel

TWS:ckm(sub ltr/Forex)
cc:Chairman James E. Newsome
Commissioner Barbara Pedersen Holum
Commissioner Sharon Brown-Hruska
Commissioner Walt Lukken
Jane Kang Thorpe, Esq.
Gregory Mocek, Esq.
Patrick J. McCarty, Esq.
David Van Wagner, Esq.
Riva Spear Adriance, Esq.