Looks like Wall Street likes Tim Geithner’s Banking Plan:
Stock markets staged a massive rally yesterday, soaring as much as 7 percent after the Treasury Department unveiled a plan to help banks purge their balance sheets of toxic assets and home sales made a surprising rebound.
The blue-chip Dow Jones industrial average closed up 6.8 percent, or 497.48 points, to 7775.86. It was the fifth-largest point gain in its history. The broader Standard & Poor’s 500-stock index rose 7.1 percent, or 54.38, to 822.92. The tech-heavy Nasdaq jumped 6.8 percent, or 98.50, to 1555.77.
Not surprising, considering that Geithner’s plan basically offers Wall Street free, no risk, high reward money. Still, you have to score this as a win for Geithner.