Janet Yellen Is President Obama’s Fed Chair Nominee

Janet Yellen is President Obama’s pick for the new chair of the Federal Reserve. The White House made the announcement Tuesday evening, saying the president will make the official nomination on Wednesday at 3 pm.

Yellen was one of several possible picks, including Obama’s former economic adviser, Lawrence Summers, who pulled his name from consideration last month.

Like the president’s other cabinet nominations, Yellen will be subject to Senate confirmation, notes The Wall Street Journal. However, the confirmation will be complicated by the government shutdown, which was caused by an ongoing stalemate between the House of Representatives and the Senate.

The timetable for hearings and a vote isn’t yet known. Janet Yellen’s nomination isn’t surprising, considering she has been the Fed’s second-in-command since 2010. Should she be confirmed, she will replace Ben Bernanke, who announced he won’t be staying in the post after his term ends in January.

Yellen’s nomination was welcomed by Senate Banking Committee Chairman Tim Johnson (D-SC), notes NBC News. Johnson released a statement saying, “I commend President Obama on his selection of Dr. Yellen to be the first woman to serve as Federal Reserve Chairman.”

Before she served as vice chair of the Federal Reserve, Janet Yellen was president and CEO of the Federal Reserve Bank of San Francisco from 2004 until 2010. She also served as chair of the Council of Economic Advisors from 1997 until 1999.

If she is confirmed, Yellen will likely continue with Benanke’s current direction. She is a close ally of his and has been a key architect of the Fed’s efforts to keep interest rates at near record lows. However, Yellen will have a number of challenges as soon as she take office, including the Fed’s planned exit from an $85-billion-per-month bond buying program.

Given the Senate’s current deliberations, it could take time for Janet Yellen’s confirmation hearings to begin.