Must-Read: Pedro Nicolaci da Costa: Lacker’s resignation raises big question about the real Fed leaker

Must-Read: Pedro Nicolaci da Costa: Lacker’s resignation raises big question about the real Fed leaker http://www.businessinsider.com/lackers-resignation-raises-big-question-about-the-real-fed-leaker-2017-4: “Despite appearances to the contrary, we also don’t know who the actual leaker was…

…This is what Lacker said:

During that October 2, 2012 discussion, the Analyst introduced into the conversation an important non-public detail about one of the policy options considered by participants prior to the meeting. Due to the highly confidential and sensitive nature of this information, I should have declined to comment and perhaps have ended the phone call. Instead, I did not refuse or express my inability to comment and the interview continued.

When Medley published a report by the Analyst the following day, October 3, 2012, it contained this important detail about one of the policy options and I realized that my failure to decline comment on the information could have been taken by the Analyst, in the context of the conversation, as an acknowledgment or confirmation of the information….

Here’s the important part: Medley clearly states its information came from the Federal Reserve’s board, a claim that is confirmed by the exactness of the policy details — and the way they were, in fact, implemented much as predicted by Medley…

Medley: “The FOMC is therefore likely to vote as early as the December meeting…

…to cease the Maturity Extension Program (MEP) on schedule and replace it with monthly Treasury bond purchases around $45 billion—similar to the current monthly average…. The minutes will also show that the dovish voting majority was ready to cease the MEP and replace it with open-ended MBS and Treasury purchases as early as last month. By year end, they are likely to get what they want…