NEW YORK: World stock markets and commodities surged yesterday, recovering some of the previous week’s sharp losses as traders focused on politicians’ comments indicating readiness to compromise to avoid the US “fiscal cliff.”
Wall Street stocks climbed more than 1.6 percent, extending a rally that began on Friday, while crude oil was up 3 percent.
US lawmakers indicated compromises were possible in negotiations to avert $ 600 billion in tax increases and spending cuts due to start in January — the “fiscal cliff” that threatens to send the US economy back into recession.
The Dow Jones industrial average was up 166.80 points, or 1.33 percent, at 12,755.11. The Standard & Poor’s 500 Index was up 21.90 points, or 1.61 percent, at 1,381.78. The Nasdaq Composite Index was up 50.63 points, or 1.77 percent, at 2,903.76.
Optimism in Europe over the prospects of a deal this week to release much-needed aid for Greece also lent support.
Wall Street stocks up 1.6%
