Investors are increasingly seeking advice on how the potential nomination of Lawrence Summers as chairman of the Federal Reserve instead of Vice Chairman Janet Yellen might influence monetary policy and financial markets.
Aides to President Barack Obama and Senate Majority Leader Harry Reid discussed the process of choosing the next U.S. Federal Reserve chairman in the wake of a letter from some chamber Democrats touting one contender, according to a person familiar with the conversations.
Brooksley Born, whose effort to regulate over-the-counter derivatives was thwarted when she served as a regulator in the 1990s, said a large U.S. bank failure would require a bailout to avoid disrupting the economy.
On a stormy night in October 2009, Mary Schapiro , the newly appointed head of the U.S. Securities and Exchange Commission, returned to her alma mater, Franklin & Marshall College in Lancaster, Pennsylvania, to be inducted into the hall of fame for student athletes. Receiving her award, she grasped the podium, confessed she was near tears and spoke of how she had never even seen a lacrosse game before attending college.
The proposals to overhaul the financial industry have their critics, such as Republican Senator Judd Gregg, who say the $600 trillion private over-the- counter derivatives market needs only superficial repair. Why put such trading on a transparent exchange if nothing is broken?