In asia overnight, equities markets were a little bit mixed. The hang seng was up by 1. 5 . Oil prices are down another 1. 34. Thats probably because of what youre seeing happening in the dollar. Look at the ten year note before we get to the dollar. The ten year note is yielding 2 point poip 482 . The yield getting pressed down. Take a look at the dollar. The dollar is down against both the euro, the yen and the pound. Right now the euro is at 1. 3353. Oil would be going up. Oil is going down on syria. On syria is coming even further up to the forefront. If you take a look at gold prices this morning, up slightly. Up by 7. 40 to 1,316 an ounce. Andrew. Thank you. What a weekend. I remember five years ago we had one weekend and now we have another one. Its not the same. With Larry Summers out of the race, will president obama pick janet yellen . Is donald kohn a candidate . Tim geithner says he doesnt want the job. We have three guests joining us. We have ben white back. Ill start with you, john. What do you think really happened over the weekend . What was the last sort of domino to get this to take place . Syria, i think. I think what happened was Larry Summers was the president s choice. The president Still Believes he was the best person for the job. Larry has accumulated controversy over the years. The white house didnt believe those were serious controversies. As you had senators recommending him. There was a big campaign against larry. When they started getting close up on the fiscal fights and the syria controversy began consuming the administration, everybody lost energy for a big confirmation fight and that would have started in the Banking Committee where you have a three seat democratic advantage. If you got to the floor, everyone was pretty sure that Larry Summers would be confirmed. I think if push came to shove they would have gotten him out of the Banking Committee. It was too much trouble for them. Tony, how did they miss play this so badly. Can we show this to the camera here . This is the cover of the national review. There are people out there who would say from day one this was not going to work. I think it was one of those people. Nothing against Larry Summers. Im a troesh ri guy. Both great candidates. The white house really wants Larry Summers. I would say, thats great. I understand that. Whos their second choice . The opposition to him is deep and personal and at some levels very is it really going to be yellen . Is the president going to feel like he kneels threatened. I think the safest choice is yellen. I think its still a possibility until somebody rules it out is that you keep the best guy for the job in the job. He said he doesnt want to stack it. I would bet a lot of money on it. Hes very youth full. Weve replaced them with more of the recent pictures. John, the president didnt need support to bomb syria anymore. I dont see why syria had anything to do with it. When you said ive been seeing this all along, watching your assets, you are now a proxy for the far left now. You know, joe, part of the reason larry didnt get confirmed is because he didnt get confirmed is because he wasnt nice to people and i hope youre taking notes. I thought my support do you think john kernen can win Senate Confirmation . What about this . I also took this from this. Is there any question now what wing of the Democratic Party really is calling the shots right now . Shouldnt we caught every editorial i see about these nasty republicans in the house not wanting to compromise on anything, is there any question now, if Larry Summers is too conservative or too much of a too close to the banks, too much for deregulation, too much this, too much that, that shows you where the core, the center of this party is to this point. If i could just jump in on that. I think what we didnt talk about on friday, john tester said he needed to hes not exactly the left wing. Ive had him on and he is. In a lot of situations he is. Hes not sharon brown. She never weighed in. She was going to be a no. You dont know that. Oh, yeah. She was going to be a no. The point is that its not all liberal democrats that are against him. Some liberal democrats. If there was any question about how the market would react, what song should we play . Let the go times roll, the cars. Roll roll out the barrel. Not that different. Maybe liberal democrats are pro stock market. Not that different. John, we know that theyre pro employment and less so on inflation at this point. And, you know, i said earlier, lets see where we all know what we are. Were getting 200 points. Im feeling okay about this today. Hopefully there will never be any math or science that needs to be done on the fed from here on out. Gosh. Thanks, larry. I have to go to bed on one question. This is the don cohn question. If you believe that tim geithner is the guy thats actually whispering in the ear of the president on who gets the nomination, my sense is he actually likes don cohn a lot more than he likes janet yellen. Do you agree with that . That may be. I dont think tim geithner is very enthusiastic about janet yellen. I talked to folks in the white house, they said yellen is by far the most likely pick. Dont expect a lot of surprises. Dont expect it this week. I thought obama would be talking about economics all week. Doesnt look like that will be the case. If they moved quickly that they wanted summers you had four people on the Banking Committee. He did the same thing on susan rice. He says i want this person for this job. Let people organize opposition and then they kill it. They could have gotten summers through. The first problem is this was politicized. It was allowed to hang out there far too long. Then is the answer okay if you have 200 economists, and then if you have 200 senators campaigning for janet yellen, but do you really turn around and say, you are acting like bad children and ill reward you and let you go what you want. It became clear they couldnt get democrats on board for syria. They wont get them on board for summers. They dont want to cut deals for represent karns on banking and on the floor. Thats good. Theyre not in the mood to cut deals. Tony, how does it happen . Thats what i want to know. Does the white house, somebody back channel to Larry Summers . Thats what i think. Im going to send you a draft of the letter that you are going to send the president. Ive seen that sort of thing happen. Not a draft of the letter. Larry is a professional. Hes been around the block a few times. Im sure he got a call from someone very high in the white house, probably mcdonough or mcdonough asking tim geithner, his friend and former colleague to let larry know that its probably up. Larry could have come to the same conclusion himself after seeing tester go south and to make that decision. Couple points on that. First of all, everybody was counting the same votes and seeing the same political developments. Secondly, one of larrys former colleagues reminded me that he has a very keen sense on whether to pull the plug on Something Like this and reminded me that he left promptly before the potential for getting blamed for the 2010 elections. How disappointed is he and given all the Political CapitalLarry Summers used and the president used, what happened . Roger altman came on and so many people came out in support of Larry Summers. I assume he was working the phones to make that happen. I think Larry Summers wanted the job and his allies within the administration wanted the job. On the question of whether he was pushed, somebody i talked to yesterday said i was shocked that this happened and unhappy that it happened. Somebody at the white house . Yes. And that suggested to me that maybe it wasnt a direct push from dennis mcdonough. Im not convinced that there was a Whisper Campaign to do it. I think he saw the writing eon the wall. There were a lot of people that were very surprised. You guys, just on friday we had former treasury secretary hank paulsen on the show. He said one of the reasons he liked larry even though he was not saying one way or the other, one of the reasons he liked him was because he had a very close relationship with the president and he said from his own experience that close relationship with the president was absolutely key. Is there someone else you look at who has a close relationship if its not geithner and if its not bernanke and if its not going to be summers . I think the short answer to that question is, no, theres not. Its ben. Its probably ben. Hes the only one. Geithner is the one who has that relationship. Hes made it clear hes not interested. Ben white. If a part of the campaign against larry and it was a part was to say how could you pass up a highly qualified woman whos serving in the number two job who has all the credentials, the market likes, how could you turn away from that person for somebody like larry given the controversies associated with him, it will be awfully difficult for them to then say, well, yeah, we didnt take larry but were not taking janet either. I cant see them passing given the nature of the opposition that they have just responded to, cant see them going past janet yellen. Look, the parties move far left from the clinton years. Thats my take. Sorkin, im listening to you. If you Start Talking about anything other than mens underwear, i dont think youre an authority on anything. I know. When they asked you to write that piece for the New York Times, did you think will this undermine my credibility in the financial matters . What are you wearing today, boxers, briefs, little tube im wearing my tommy johns underneath, but i will say i didnt think they would get on they put it on the cover. It was on the cover. Mens underwear, by andrew l. Sorkin. I talk about these undershirts. You know how this happened. There we are. All right. Well, youve been talking about the fed, Monetary Policy for the rest of the day and everybody is going to think about i wonder if hes chafing, bunching up. I dont know, andrew. Whos managing this career of yours . I guess lets say youre a renaissance man. Can you talk about it all. Im going to have to start consulting with you all. Youre the only person thinking intensely about this. I guess you dont read your old paper. You didnt see the New York Times . I saw it. Theres a real zeal to your interest in this issue. All right. Whatever. Hes wearing that undershirt too. Thanks, guys. Coming up, continuing coverage of monday morning market rally. Yellens pretty good. Yellens pretty good. We know who the short term heroin addicts in the market wanted. Dow up 192 points. Former treasury official roger altman. Hes a strong supporter of Larry Summers as fed chairman from the old republican Clinton Administration. And an extended conversation with former congressman barney frank and former senator chris dodd five years after the financial crisis. Capital to make it happen . Without the thinking that makes it real . Whats a vision without the expertise to execute it. And the financing to make it grow . Whatever your goal, it can change more than your business. It can change the future. Thats why, at barclays, our ambition is to always realize yours. If youre just weighing up, the numbers are up almost 200 points. Futures up 194 points on the dow. 20 points up on the s p 500. That will get us a retracement of half of the recent pull back that we saw based on syria and the tapering. The ten year this morning, that should be interesting. 2. 8, thats not too bad. And the dollar which was up on friday on the nikkei report that it was going to be Larry Summers name this week is giving back some of those gains on the fact that janet yellen is more dovish than Larry Summers. They say theres no difference. Theyre saying that there are times in the past if you read what she said, she was not always rubber stamping the additional accommodations. If you look at what theyve said about qe 3, Larry Summers has indicated that he thought it was not as effective anymore and not really worth you werent getting the bang for your buck anymore. Summers has been the opposite. Yellen has been the opposite and she has been out there saying that maybe we need this for an extended period. Wheres leaseman. Hes on at 7 00. He has quotes where she was hesitant to come on with more accommodations in the past. Obviously the markets think there is a difference. Yeah, right. I think it all comes down to qe 3, whether youre willing to taper or whether you focus only on whats happening in the employment picture. There have been a lot of thoughts that shes of the opinion that qe 3 can help push the employment. The most celebrated fed chief of all times probably fulker. Price stability shouldnt have anything to do with employment. Read what krugman says. Read that part of the sort of analysis on the left of things think we need more accommodation, more stimulus, more, more, more, more, more. You can see why it happened this way. I think bens probably right. Well have senator warren on today. I think we knew she was going to be in. I think so. When you start doing the math on that, four of 12 democrats on the senate Banking Committee. At that point you absolutely have to have some republicans that get on board to do this. Maybe it got a little too messy when you start looking at the numbers. These guys know exactly how to break it down. Even the wall streeters, you think of them as somewhat conservative. Show them 200 points, theyll sell out. You were ready. Yellens great. Have her on, perfect. Well talk to Steve Weissman began coming up at 7 00 because he has really done the numbers and done the survey with economists to break down who comes out on top in which categories. Well have him coming up at 7 00 eastern time. Its time for the executive edge. First up today, former barclays boss bob dimon is asking for a shakeup of the rules. Hes joining those in criticizing the lack of progress in ending too big to fail and an apparent change of heart for the risk that barclays was taking in the lead up to crisis. He admits the leverage was too high. He argues reg dwu la tori advances have helped cut the risk but he says we need to work on this. Dimon is right on this issue. Forget about the crisis. Before that he wanted global regulation. The problem for bark glas or any european bank, any asian bank and any u. S. Bank, we have this global arbitrage going on. Then you have to get concerned about deutsche bank. Unless you have a global regulator, which youll never have whos going to cede control to some global the folks in new york city cant get along with the folks in albany. The fact that well have this on a global basis is crazy. Were saying the title of your book and weve got a thing at the bottom that has the. Too big to fail. Why are you dinging . This was your idea again. So how long are you in the penalty box before you can come out and start saying things . Bob diamond, when did he quit . Was it a year ago . It was a year ago, yeah. About a year ago. Yeah, he quit about a year ago. Quit, resigned, pushed out about a year ak over libor. Okay. Still has credibility. On this particular show i think he has a lot of credibility. All right. Lets talk about a new nbc news wall street journal poll that finds americans are still unconvinced about obama care three and a half years after it passed congress. Only 31 of americans say that the new Health Care Law is a good idea. 30 say they understand the law and how it will affect them while 69 say they do not. Heres an interesting point, too. 52 believe that the cost of their health care will go up as a result of the law. Some difficult dynamics and i think approval rates dropped another 5 . That may be in relation to what we heard last week about the union. The aflcio saying they have some issues with it, too. Both sides, whats interesting is you might say, wow, its never budged from this. So you would think inherently theres something wrong with it. The liberals would say that the right has been talking down obama care, spending money to undermine the law. The left has got hollywood types selling obama care and it still comes down at about 30 . Theres something deeply unpopular about the whole notion. Its confusing. I have to admit. I still dont understand it. I feel like ive read it all. This is going to be the perennial problem. You mean you dont understand why people dont like it, andrew . Thats what you no. Im not sure most of the people here in d. C. , i think if you actually asked them, even people who have written parts of it will tell you they dont understood it. If they understood it they would like it. I know what youre saying. John harwoods been saying that. The American People, theyre so no. They dont know whats good for them. Luckily we have an administration that does know like your guy, bloomberg does know whats good for them. We better take our medicine and say, thank you, sir, may i have nother . Only i hope that the viewer appreciates the sarcasm. Let me tell you about the next story. Youre finally getting it. Two years is how long its been. Businesses getting a break from the i. R. S. About deductions. I dont know a whole lot about deductible asset repairs. Fedex had a big win in terms of repairing some of the jet engines, this is something that they could legally deduct. Im not are you the expert on that . No, im not. Youre preparing for that . Me and the irs or the irs and i, were peacefully coexisting at that. Lets leave it at that. Im surprised fedex, fred smith has said things in the past. Im surprised they got a break. That was an oversight at the irs. Is the irs back to objective, do you think, andrew . Where are you on that . Do you think we can breathe easily now . I dont know. Now that theres no politics involved anymore . I think its hard well, i dont want to get audited. Careful. Careful. Im going to hold my tongue. Careful. Wait until de blasio gets there. When we come back this morning, well get back to the markets because again the futures are indicated sharply higher this morn