FX.co ★ Former U.S. Treasury Secretary to be main candidate for Fed’s chair

According to Larry Kudlow, the economist and author of The Kudlow Report for CNBC, citing an unnamed source, former United States Secretary of the Treasury Timothy Geithner is a potential candidate for the post of chairman of the Federal Reserve System.
Donald Kohn, the 70-year old former Vice Chairman of the Board of Governors of the Federal Reserve System is also regarded as a candidate. However, his appointment is unlikely due to his age. Barack Obama supports Geithner’s candidacy. Moreover, Kudlow points, citing top managers from Wall Street, Geithner knows about financial markets more than all the candidates. Janet Yellen, the Vice Chairwoman of the Board of Governors of the Federal Reserve System and Lawrence Summers, who served as the 71st United States Secretary of the Treasury from 1999 to 2001 under President Bill Clinton, are under consideration to be the next Fed Chief.
It is said that neither republicans, nor democrats like Summers, though his candidacy is favoured by Obama. Summers is reproached for playing a key role in the cancellation of Glass-Steagall Act, which restricted speculative activity of banks. Moreover, the 71st U.S. Secretary of the Treasury helped to free the derivatives market from strict supervision, which could contribute to the development of theGlobal financial crisis in 2008.
At the same time Yellen is associated with firm leadership, which may be counteracted by lobbyists protecting interests of the Wall Street companies.
Obama said that the name of the next chair of the U.S. Federal Reserve would be announced in the fall. The president will present the candidacy for the chair, after that the U.S. Senate adopts it. Ben Bernanke has been the chairman since 2006, i.e. the second four-year term in a row; which is due in January 2014.