Final answer:
The SEC is indeed the agency primarily responsible for common standards in the U.S. financial markets, as it regulates and supervises the sale of securities and those involved in selling them, adhering to the Federal Securities Act and other legislation.
Step-by-step explanation:
The question addresses whether the Securities and Exchange Commission (SEC) is the agency primarily responsible for common standards in the U.S. This is True. The SEC was established to regulate and supervise the sale of securities (stocks, bonds, etc.) and the brokers, dealers, and bankers who sell them. The SEC plays a vital role in preserving market integrity by enforcing legal standards for disclosure and preventing fraudulent activities. While Stock Exchanges like the NYSE have their own rules and governing bodies, they must adhere to regulations set forth by the SEC to ensure fair trading practices. The commission governs a vast array of financial activities, and its mission has expanded tremendously, especially in the digital era, to cover aspects beyond physical stock floor trading. The Federal Securities Act and subsequent legislation have given the SEC significant authority in its regulatory domain.