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Stephen Mihm

The Fed's Reserve About Leaks

Actions speak louder than words.
If these walls could only be quiet.

If these walls could only be quiet.

Photographer: Andrew Harrer/Bloomberg

Bloomberg News reported this week that a confidential account of the internal deliberations of the Federal Open Markets Committee meeting in September 2012 had fallen into the hands of private analysts at Medley Global Advisors who included the information in a research note circulated among traders. 

The breach, which provided hints of future Fed action in December, was referred to the general counsel and sparked a mole hunt that reached the highest levels of the central bank. The Fed has never disclosed the investigation or its findings.  Nor was anyone prosecuted.