Stocks gain on optimism that a budget deal is near

AP News
Posted: Dec 18, 2012 4:11 PM

NEW YORK (AP) — Stocks are closing higher on Wall Street amid optimism that lawmakers are closing in on a budget deal.

The Dow Jones industrial average rose 116 points to close at 13,351 Tuesday.

The Standard and Poor's 500 index rose 16 points to 1,447, the highest in two months. The Nasdaq composite rose 44 points to 3,054.

House Speaker John Boehner told reporters he remains hopeful that a compromise can be reached, but he says President Barack Obama has yet to offer a balanced plan to cut the budget deficit.

Radio ratings provider Arbitron jumped after the company agreed to be bought by TV ratings company Nielsen.

Nearly three stocks rose for every two that fell on the New York Stock Exchange. Volume was 4.1 billion shares, higher than the recent average.