Fed To Discuss Discount Rate In A Closed June 7 Meeting
These days, it appears the Fed's favorite closed session topic is the Discount Rate. After first bringing this matter up for discussion on April 26, Bernanke's henchmen will once again plot how to keep ever more vocal Fed hawks like Hoenig and Fisher quiet, even as ZIRP persists well into the thirtieth century. According to a "Notice of Meeting under Expedited Procedure" tomorrow, the Fed will once again review whether or not to hike the Discount rate. Obviously, any tightening outcome as a result of this meeting (which is the second on the issue in under two months) will send markets into an even worse tailspin.
It is anticipated that the closed meeting of the Board of Governors of the Federal Reserve System at 11:30 a.m. on Monday, June 7, 2010, will be held under expedited procedures, as set forth in section 26lb.7 of the Board's Rules Regarding Public Observation of Meetings, at the Board's offices at 20th Street and C Streets, N.W., Washington, D.C. The following items of official Board business are tentatively scheduled to be considered at that meeting.
Meeting date: June 7, 2010
Matters to be Considered:
1. Review and determination by the Board of Governors of the advance and discount rates to be charged by Federal Reserve Banks.
A final announcement of matters considered under expedited procedures will be available in the Board's Freedom of Information and Public Affairs Offices and on the Board's Web site following the closed meeting.
For more information please contact: Michelle Smith, Director, or Dave Skidmore, Assistant to the Board, Office of Board Members at 202-452-2955.