The Straits Times
Published on Jan 02, 2013

US stocks soar on news of fiscal-cliff deal in Congress


NEW YORK (AFP) - US stocks shot up on Wednesday in opening trade on news of a fiscal-cliff deal in Congress that prevented most tax increases and delayed sharp spending cuts.

The Dow Jones Industrial Average was up 1.8 per cent in the first minutes of trade, while the Nasdaq Composite topped 2.8 per cent.

The broad-market S&P 500 gained nearly 2 per cent.

In the first trading day of the new year, Wall Street joined a global equities rally celebrating the passage of a bill that avoids the "fiscal cliff" of automatic spending cuts and tax increases.