Wall Street and most global markets close with positive results after Trump's choice of Scott Bessent as Treasury Secretary

President-elect Donald Trump picked Scott Bessent as his nominee for next Treasury secretary, and Wall Street responded by closing higher (a move spurred by the appointment).

The announcement gives investors confidence and generates optimism in the financial markets. Investors now turn their attention to the inflation report due to come out this Wednesday. This will influence the Federal Reserve's decisions, and impact the stock market.

Bessent, 62, a founding tycoon and CEO of global macroinvestment firm Key Square Group, was a key economic policy adviser and fundraiser for the Trump campaign.

Stock market recovers

All three closely watched stock indexes closed with strong performances:

- The S&P 500 (Standard and Poor's 500 that tracks the stock performance of 500 of the largest publicly traded companies) saw a 0.8% increase, nearing its all-time high reached earlier in the month.

- The Dow Jones Industrial Average (a stock market index of 30 leading publicly traded companies) rose 459 points, equivalent to a 1% increase.

- The Nasdaq Composite (includes nearly all Nasdaq-listed stocks) also posted a 1% increase, driven by technology companies.

Bonds and crypto

The bond market also showed signs of relief. The yield on the 10-year Treasury note fell to 4.3% (from 4.41% on Friday). This decline represents an easing in borrowing costs for businesses and consumers.

On the other hand, the cryptocurrency sector remains strong. Bitcoin continued its upward streak, approaching the $100,000 milestone, trading at $97,000 after a strong rebound recently.

Most of the world's stock markets also rise

Global markets also recorded a positive start to the week.

In Europe, major stocks followed Wall Street's optimism: Germany's DAX rose 0.7%, while France's CAC 40 advanced 0.9%. London's FTSE 100 also showed a positive performance, up 0.4%.

Asian markets showed a mixed picture. Japan led the gains with a 1.3% rise in the Nikkei 225, South Korea's Kospi also advanced 1.3%. Elsewhere in China, the Shanghai Composite fell 0.1%, while Hong Kong's Hang Seng retreated 0.4%. In India, the Sensex rose 1.1%.