Fed lifts veil on primary dealer survey
Reuters – 1 hour 13 minutes ago.. .
By Emily Flitter
NEW YORK (Reuters) – The Federal Reserve Bank of New York took another step in its campaign to become more transparent on Friday, announcing it will publish one of the regular queries it puts to market participants.
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The New York Fed said it would begin publishing on its website the regular survey it distributes to a selection of bond dealers before every Federal Open Market Committee meeting.
The New York Fed sends the questionnaire to the 21 banks and securities firms authorized to deal directly with the Treasury and the Federal Reserve to help implement monetary policy. It is designed to garner feedback from market participants that the FOMC can use in its policy deliberations.
The surveys, kept secret until now, had been viewed by some in the financial markets as offering hints on the Fed’s next monetary policy moves, a notion disavowed by the New York Fed and some primary dealers.
“People may read into the questions more than they should,” said Ira Jersey, interest-rate strategist at Credit Suisse, a primary dealer.