Financial stocks led a market rally Monday after Washington threw Citigroup Inc. a $20 billion life preserver, averting a bank collapse that could have further hampered the global financial system.

The KBW Bank Index rose 17.7% as Citi, one of its components, rose 57.8%, to $5.95 a share, on news that the Treasury would also guarantee $306 billion dollars of its assets and pump an additional $20 billion in capital into the company.

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