Categories: OLD Media Moves

US rethinking how it releases economic data

Federal officials are discussing changes to how the government releases sensitive economic data, seeking to bring the system in line with fast-moving financial markets, reports Brody Mullins and Colleen McCain Nelson of The Wall Street Journal.

Mullins and Nelson write, “At issue is the traditional way that the government releases economic data. Under a system known as a lockup, many government departments give economic data to reporters on an embargoed basis. The reporters have a defined period to write their reports. When the embargo is lifted, reporters are allowed to publish. The idea is to give reporters time to digest complex economic reports and produce accurate accounts.

“The system of lockups has come under fire in recent years after several media firms, including Dow Jones & Co., publisher of The Wall Street Journal, started using the lockup to sell raw data from the government reports to high-frequency trading firms. That data, sent along high-speed transmission lines, allows firms to make computerized trades before individual traders can react.

“Dow Jones has said it ‘always endeavors to follow all lockup procedures and rules, and would never sanction—and is not aware of—any intentional violations.’

“In one snafu that highlighted the loose security surrounding the data, an official at the Federal Reserve mistakenly sent details of a regular Fed meeting to a group of people, including investors, a full day before the minutes were scheduled to be released to the public.”

Read more here.

Chris Roush

Chris Roush was the dean of the School of Communications at Quinnipiac University in Hamden, Connecticut. He was previously Walter E. Hussman Sr. Distinguished Professor in business journalism at UNC-Chapel Hill. He is a former business journalist for Bloomberg News, Businessweek, The Atlanta Journal-Constitution, The Tampa Tribune and the Sarasota Herald-Tribune. He is the author of the leading business reporting textbook "Show me the Money: Writing Business and Economics Stories for Mass Communication" and "Thinking Things Over," a biography of former Wall Street Journal editor Vermont Royster.

View Comments

    Recent Posts

    Miao to cover China economy for WSJ

    Wall Street Journal reporter Hannah Miao is moving to Singapore to cover the China economy.…

    2 hours ago

    FT taps Foy to cover European banking

    Financial Times reporter Simon Foy is now covering European banks. He has been covering accounting for the…

    6 hours ago

    Debtwire seeks a private credit reporter

    Debtwire, the leading provider of global fixed income news, analysis and data for more than…

    9 hours ago

    BNN Bloomberg anchor Kanwar is departing

    Amber Kanwar, an anchor for BNN Bloomberg in Canada, is departing at the end of…

    9 hours ago

    Moody’s promotes Kantrow to editor in chief

    Moody's Ratings has promoted Yvette Kantrow to senior vice president and editor in chief. She has been…

    9 hours ago

    Politico reporter Fieseler departs

    Politico reporter Clare Fieseler is leaving the news organization to take on some ocean reporting projects. She…

    9 hours ago