A magnetic memory device includes a data ferromagnetic layer having a magnetization that can be oriented in either of two directions, a reference layer, and a spacer layer between the data and reference layers. The reference layer includes a dielectric layer, first and second conductors separated by the dielectric layer, and a ferromagnetic cladding on the first and second conductors. The memory device may be read by temporarily setting the magnetization of the reference layer to a known orientation, and determining a resistance state of the device.