There, he gave prepared remarks on regulatory policy and the Fed's response to the financial crisis and took questions from the audience on the highly market-sensitive topic of interest rate policy, according to a da Costa source.
But here is the problem: Federal Reserve officials give speeches all the time. What makes this one notable is that it was closed to the public AND Fischer's prepared comments have not been made available by the Fed. This is highly unusual. The Fed has a page where they post almost all Fed speeches. and, notes da Costa, that the speech took place at all was not widely known.
Indeed, the same day Fischer delivered his Brookings speech, Federal Reserve chair Janet Yellen gave a speech that the Fed reported at its events page but they did not report Fischer's speech. Again, very unusual---and suspicious. They did report a speech he gave on March 3.
I consider Fischer a major monetary policy influence at the Fed. It's a troika of him, Yellen and New York Federal Reserve President William Dudley. What he has to say is very important for investors to know.
One has to wonder what was said at this dinner. Most assuredly major financial players were in attendance and thus have insight into Fischer's views that the general investing and business public does not.
As da Costa notes:
True, Brookings is a non-profit institution, not a bank. But its donors, the ones that get to attend these type of exclusive-access diners, include Wall Street megabanks. Its board of trustees includes Carlyle Group co-founder David Rubenstein and Glen Hutchins a co-founder of Silver Lake, two of the largest private-equity investors in the world, as well as high-level executives at Goldman Sachs, Deutsche Bank and JPMorgan.-RW