Janet Yellen to be nominated as head of Federal Reserve

According to a White House official, President Barack Obama will nominate Federal Reserve Vice-Chair Janet Yellen to be the next head of the US central bank on Wednesday.

If confirmed by the Senate, Janet Yellen would replace Ben Bernanke, who has held the post for eight years.

Janet Yellen has been Ben Bernanke’s deputy for the last two years, and would become the first woman to head the Federal Reserve.

Janet Yellen and Ben Bernanke are due to appear with President Barack Obama on Wednesday.

She has taught at Harvard University and the London School of Economics, as well as holding a series of senior administrative positions in the US.

Janet Yellen, like Ben Bernanke, is seen as a “dove”, meaning she prefers to prioritize boosting employment by keeping rates low rather than worrying about inflation.

Her nomination has been widely expected after former Treasury Secretary Larry Summers withdrew his candidature.

Democrat Charles Schumer said Janet Yellen had the backing of politicians and would win Senate confirmation “by a wide margin”.

The chairman of the Senate Banking Committee, Tim Johnson, said she had “a depth of experience that is second to none”.

“I have no doubt she will be an excellent Federal Reserve chairman,” he added.