Thursday, May 28, 2015

Why is Janet Yellen Skipping Jackson Hole?

Mr. Establishment Apologist, gold-hater, Ron Insana hints it may have something to do with the current separate  DOJ and House investigations into a leak from the Fed (that possibly came from Yellen).

Insana writes at CNBC:
The annual economic symposium there, sponsored by the Kansas City Fed, has become a virtual staging ground for new policy declarations from the likes of Alan Greenspan, Ben Bernanke and global central bankers who want to drive home policy points in late August, just before everyone returns from their summer vacation. But something funny is happening on the way to Jackson Hole this year. Fed Chair, Janet Yellen, has decided not to participate, the first Fed chair to skip the trip in modern memory...

[T]here has been some talk that Congress is concerned about whether Ms. Yellen was the source of that Fed leak to the Fed forecasting firm, Medley Global Advisors, founded by the late Richard Medley. He was among those with links to Washington whose Fed forecasts could move markets.

Ms. Yellen admitted to having met with representatives of the firm in June of 2012, though she has denied revealing any sensitive information to them. Other Fed staffers also met with reps from Medley, who a couple months later, released a near perfect prediction of information the Fed would make known a mere day later.

The Department of Justice, and the Fed's internal investigating arm, is also investigating the matter, according to Ms. Yellen, herself.
While I think Ms. Yellen, more likely than not, simply does not want to pre-empt any move the Fed might make in September, it's also possible that she would prefer to keep her head down for a while and announce policy changes through official channels, rather than hint at coming events.
Insana's mention that "there is some talk" that Congress is concerned whether Yellen was the source of the leak is the first direct mention that Yellen may have been the leaker.

This hint from an insider like Insana should not be taken lightly. It continues to look like powers that be may be putting Yellen in play to oust her, which, of course, would mean that the former head of Israel's central bank, current vice-chairman Stanley Fischer, would become acting Fed chair.



  1. To think, this quintessential grandmother-type is printing us into oblivion. I always thought it would be some gent sporting a black top hat and cape, and twisting a handlebar mustache atop a sinister grin.

  2. Maybe she's avoiding another EJP photo caption contest.