Scott Bessent's Historic Nomination Sparks Wall Street Rally

Wall Street rose as Scott Bessent, nominated for Treasury Secretary, buoyed market sentiment. Speculation ended with President-elect Trump's announcement. Ceasefire talks, lower oil prices, and rate-sensitive sector gains drove indexes higher. Small-caps outperformed amid expectations for business-friendly policies, while inflation concerns loomed over the Federal Reserve's December meeting.

Wall Street's major indexes advanced on Monday, powered by the nomination of Scott Bessent as Treasury Secretary and ongoing Middle East ceasefire discussions. The small-cap Russell 2000 index achieved a record high, buoyed by investor optimism.

President-elect Donald Trump's nomination of Bessent, announced late Friday, concluded weeks of speculation. Investment strategists believe Bessent might take steps to curb government borrowing while supporting Trump's fiscal and trade pledges. Meanwhile, ceasefire negotiations between Israel and Lebanon, alongside falling oil prices, contributed to market shifts.

The Dow Jones Industrial Average increased by 319.86 points, while the S&P 500 and Nasdaq Composite also posted gains. Small-cap stocks outperformed, encouraged by expected business-friendly policies from Trump and a Republican Congress. However, inflationary concerns could slow the Federal Reserve's policy easing, which investors will closely watch during the upcoming December meeting.

(With inputs from agencies.)