New IMF Head: Carstens or Lagarde?

Have you been following Carstens vs. Lagarde story? If not, here's the most recent scoop from BBC News:

Mr Carstens himself acknowledges Ms Lagarde is the favourite to replace Dominique Strauss-Kahn at the IMF.

"I'm not fooling myself. It's like starting a soccer game with a 5-0 score," he said on Monday.
He says he would bring "a fresh pair of eyes" to the role. 

A European, he says, could face a conflict of interest, given the continuing debt crisis in some eurozone countries, while he can appreciate what emerging markets can contribute to the IMF.

But the fact he is from the Americas could work against him.
Robert Zoellick, from the US, currently heads the World Bank and some countries may not be keen to see the two global institutions led by officials from the same part of the world.
Traditionally, an American has headed the World Bank while a European has been in charge of the IMF. 

And while Mr Carstens has the support of most of Latin America, Brazil - the region's largest economy - has yet to say whom it will back. 

For Mr Carstens to be successful, he would almost certainly need Brazil to back him.

Mexico's Carstens Sees Low Risk Of Disorderly Capital Outflows

Bank of Mexico Governor Agustin Carstens said Friday there is a low risk that higher interest rates in developed countries will trigger capital outflows from Mexico.

"There is the risk of observing some turbulence in our markets when those flows are reversed, especially if they are reversed in a disorderly fashion. But at the same time I feel that the danger of that is not that large," Carstens said in an interview with Dow Jones Newswires in Argentina.

Source: Wall Street Journal 

Mexico's Carstens Travels to Brazil, Seeking Support for IMF Bid

Mexico's central bank chief, Agustin Carstens, arrived in Brazil on Wednesday aiming to win crucial support in Latin America for his bid to the lead the International Monetary Fund.

Carstens will try to capitalize on discontent in Brazil and other major emerging economies over the practice of choosing a European to head the global lender.

Source: Reuters

Mexico's Carstens, Emerging Market IMF Candidate

According to this Wall Street Journal article, Mexico's Central Bank Chief Agustin Carstens - a veteran of Mexico's financial crises - is the leading candidate to head the International Monetary Fund from an emerging market.

While other nations like Chile and India have not yet thrown their support behind him, Mexican officials are confident that there will be an uptick in endorsements for the University of Chicago-trained economist.

Developing nations "have rallied around a statement of principle that this process be transparent and open, so let's see if they can rally around a candidate that has all the qualities to lead the fund," said one high-ranking Mexican official.

In addition to Carstens, Christine Largarde, the current minister of economic affairs for France, is the other leading candidate to head the IMF.

U.S. Treasury Secretary Timothy Geithner had praise for Mr. Carstens on Wednesday, saying he and Ms. Lagarde were two "very credible" candidates.