U.S. stocks rise on hopes for fiscal-cliff talks

U.S. stocks rise on hopes for fiscal-cliff talks
Dow industrials, S&P 500 end at highest levels in nearly five weeks
NEW YORK (MarketWatch) — U.S. stocks climbed Monday, lifting the Dow Jones Industrial Average and the S&P 500 to their highest levels since Election Day, as Wall Street banked on a deal to avert automatic tax hikes and spending cuts slated to start in January.
http://www.marketwatch.com/story/us-stocks-ed...2012-12-10

“I think the assumption is there is more going on than they are telling us,” said Ron Florance, managing director of investment strategy at Wells Fargo & Co.

“It may be wishful thinking, or it may be they’ve taken some responsibility,” said Florance of the budget negotiations.

Up for a fourth consecutive session, its longest winning run since October, the Dow Jones Industrial Average (DJI JIA) climbed 14.75 points, or 0.1%, to 13,169.88, with technology companies led by Hewlett-Packard Co. (NYSE:HPQ)  and Cisco Systems Inc. (NASDAQ:CSCO)  pacing gains that included half of its 30 components.

McDonald’s Corp. (NYSE:MCD)  rose 1.1% after the fast-food chain reported a 2.4% gain in global sales last month. See: McDonald’s makes a comeback in November.

The McDonald’s release “would have moved the market six months ago, but everything is just on hold,” said Florance.

Also up for a fourth consecutive session, the S&P 500 Index (SNC:SPX) rose half a point to 1,418.55, with materials advancing the most and consumer discretionary the heaviest weight among its 10 major sectors.

“The narrow trading range of 1,386 to 1,433 on the S&P is still intact. A breakout to the upside on a cliff deal could take the S&P back up to the early-year high at 1,474, assuming the rally lasts more than two days,” Elliot Spar, market strategist at Stifel, Nicolaus & Co., wrote in emailed comments.

“Then reality will set in: it’s still an economy growing at 2% and higher taxes and lower government spending are drags on growth and not upside catalysts,” Spar added.

The Nasdaq Composite Index (NASDAQ:COMP) added 8.92 points, or 0.3%, to 2,986.96.

American International Group Inc. (NYSE:AIG) fell after the insurer pegged the cost of Hurricane Sandy and its aftermath at roughly $1.3 billion.

Shares of Apple Inc. (NASDAQ:AAPL) declined 0.6% after Jefferies Group Inc. reduced its share-price outlook.

Advancers outpaced decliners on the New York Stock Exchange, where nearly 593 million shares traded. Composite volume approached 3 billion.