Geithner Gone?


Despite assurances to the contrary, President Obama has personally asked Treasury Secretary Timothy Geithner to step down, sources told HousingWire early Wednesday morning. Geithner, who has seen a whipsaw of public opinion over his handling of bonuses at American International Group and the introduction of a so-called public-private investment program designed to clear bad assets off of bank balance sheets, has been the subject of strong criticism from Republicans and even a few prominent Democrats.
The stunning move comes after Geithner's popularity on Wall Street has gained momentum in the past week, as investors have largely cheered a proposal to see the Treasury, Federal Reserve, and FDIC partner with private investors to clear toxic assets off of of the hands of troubled banks.
"It's being done quietly, but the President has asked Geithner to step aside," said a source close to the Cabinet with knowledge of the decision. "He feels there is too much of a lack of trust, and he was frankly expecting more of a bounce in financial markets from the PPIP than what's been seen so far."

Geithner Out at the Treasury: Source [Housing Wire]


Now You Listen Here: Tim Geithner's Bags Are Packed

Earlier today, it was reported that Timothy P. Geithner has informed people that he "plans to leave the administration by the end of January, even if President Barack Obama and congressional Republicans haven’t reached an agreement to raise the debt ceiling." Will this actually happen? Those unfamiliar with the Treasury Secretary's attempts to leave his post in the past will say yes. He's leaving, ship-shape. Those who've watched TPG try and fail to bust out of Washington for the last nineteen months, however, know better. More than likely, he's not going anywhere and it's not because deep down inside he doesn't actually want to go home but because his bosses won't let him. Witness, if you will, a small sampling of examples in which his requests have been denied, either directly (via someone laughing in his face) or indirectly (by giving those who've applied to replace him the wrong directions to their interview):