Yesterday the Wall Street Journal's Jon Hilsenrath was kind enough to present to the general public some 515 pages of massively redacted Fed transcripts from the oh so very interesting period of 2007-2010, ahead of schedule. Unfortunately those curious to find out the details of just what was going on in that critical period between March 2008 and March 2009 will have to wait another 3 years for the full declassification to take place. That said, digging among the unredacted data, one does find the occasional pearl. Such as the following exchange between CHAIRMAN BERNANKE and the Fed staff, from the October 28-29, 2008 meeting, in the days when AIG was dying, when Lehman had failed, when money markets had frozen and when the end of the world was nigh. Ironically, it is this one unredacted piece of data that pretty much says it all.
- I’d like first to do the open market operations, which I hope are not too controversial. [Laughter] (source: page 231 of 513)
And that, as they say, is that.