Stocks rise on deal hopes ahead of fiscal cliff

In this May 17, 2012 file photo specialist Stephen D’Agostino works at his post on the floor of the New York Stock Exchange. AP/Richard Drew

NEW YORK—US stocks rose Monday amid Wall Street hopes of a political compromise that would prevent the economy from going over the “fiscal cliff” in two weeks.

The Dow Jones Industrial Average was up 102.83 points (0.78 percent) at 13,237.84 in closing trade.

The broad-market S&P 500 gained 16.93 points (1.2 percent) at 1,430.51, while the tech-rich Nasdaq Composite was up 39.27 points (1.32 percent) to 3,010.60.

President Barack Obama hosted top Republican lawmaker John Boehner in the White House Monday in what appeared to be the latest effort to avert going over the so-called fiscal cliff, a mix of steep tax hikes and spending cuts set to take effect in January if Washington fails to reach a deal.

Economists say going over the cliff could drag the world’s biggest economy back into recession.