Our Terms of Service and Privacy Policy have changed.

By continuing to use this site, you are agreeing to the new Privacy Policy and Terms of Service.

Obama to nominate 3 new Fed governors

By Hibah Yousuf, staff reporter


NEW YORK (CNNMoney.com) -- President Obama plans to nominate three new governors to the Federal Reserve, the White House announced Thursday.

Obama will nominate San Francisco Federal Reserve Bank President Janet Yellen to serve as vice chairman of the central bank. And the two vacancies on the seven-member board would be filled by Sarah Raskin, the Maryland Commissioner of Financial Regulation, and Peter Diamond, a professor at the Massachusetts Institute of Technology.

"The depth of experience these individuals bring in economic and monetary policy, financial regulation, and consumer protection will make them tremendous assets at the Fed," the President said in a statement. "I am grateful they have chosen to dedicate their talents to serving the American people."

The members of the Fed board of governors and select Fed presidents from around the country set monetary policy, including interest rates, as part of the Federal Open Market Committee.

Yellen, who has been considered one of the more influential presidents of the Fed's 12 district banks, will succeed Donald Kohn, who will retire on June 23. Yellen would be the second woman to hold the position.

All three will need to be confirmed by the Senate. And while Fed board nominations are typically not contentious, Fed Chairman Ben Bernanke was only confirmed by a historically small margin earlier this year.

If the three are confirmed, Obama will have named a majority of the Fed's board of governors. There were two vacancies when the president took office, and he filled one of those positions earlier.

Yellen's priority to promote economic growth over maintaining price stability is likely to be popular with members of the Senate who will vote on her nomination.

Raskin and Diamond will fill the remaining opening and replace Gov. Frederic Mishkin, who resigned at the end of August. To top of page

Search for Jobs

Index Last Change % Change
Dow 20,596.72 -59.86 -0.29%
Nasdaq 5,828.74 11.05 0.19%
S&P 500 2,343.98 -1.98 -0.08%
Treasuries 2.40 -0.02 -0.74%
Data as of 2:42am ET
Company Price Change % Change
Bank of America Corp... 23.12 0.05 0.22%
Micron Technology In... 28.43 1.96 7.40%
Advanced Micro Devic... 13.70 -0.09 -0.65%
Ford Motor Co 11.62 -0.05 -0.43%
Chesapeake Energy Co... 5.22 0.13 2.55%
Data as of Mar 24
Sponsors

Sections

President Trump says Obamacare is exploding, so it's up to him to make changes to it to keep it afloat for 2018 and beyond. More

In a company-wide email on Friday, Hampton Creek CEO Josh Tetrick wrote that both the SEC and the Department of Justice have closed their inquires into the company's so-called mayo-buyback scheme. More

A PwC report estimates that 38% of U.S. jobs are at a high risk of being replaced by robots and artificial intelligence over the next 15 years. More