White House Denies Nikkei Report That It Has Picked Larry Summers For Fed Chairman

The White House denies this morning a report in the Japanese newspaper Nikkei overnight that President Obama will nominate former Treasury Secretary Larry Summers for Federal Reserve chairman next week.

Summers has emerged as the frontrunner for the position in the media in recent weeks, ahead of current Fed vice chair Janet Yellen, who was once thought to be the favorite.

Last night, a report in Nikkei saying Obama planned to nominate Summers as early as next week moved markets, causing weakness in bonds and gold on the prospect that Summers would take a more hawkish stance toward monetary policy as Fed chair than Yellen would.