Geithner Tapped for Treasury Secretary, Wall Street Rallies

The Dow ended above 8,000, rising 494 points (+6.54%), most in the closing hour. The Nasdaq rose 5.19% and S&P 500 was up 6.32%. The enthusiasm was due to news (or yet another leak) that President-elect Obama will nominate Timothy Geithner as Treasury Secretary. Geithner, who was born in Brooklyn, has been the New York Federal Reserve Bank President since 2003 and has also worked at the IMF and Council on Foreign Relations. While one trader told the NY Times, “It was almost a Geithner relief rally," another said, "What you’re seeing is a rally off the headlines. The markets are applauding change. It’s a hope that change will bring some sort of effectiveness to these plans and ultimately make a road map to come out of it.”