U.S. stocks rallied strongly at the open on Thursday (October 10), with each of the major indexes climbing more than 1 percent, as investors were encouraged by signs of progress in fiscal negotiations in Washington.
According to a Republican leadership aide, U.S. House Republicans are considering agreeing to a short-term increase in the government's borrowing authority, keeping a possible default after Oct. 17 at bay and buying time for negotiations on broader policy measures.
President Barack Obama and congressional leaders are set to meet Thursday for further discussions.
U.S. Treasury Secretary Jack Lew said the gridlock in Washington was hurting the U.S. economy, and urged Congress to raise a cap on government borrowing to keep America from defaulting on its debt.
The Dow Jones industrial average rose 179.56 points, or 1.21 percent, to 14,982.54, the S&P 500 gained 20.74 points, or 1.25 percent, to 1,677.14 and the Nasdaq Composite added 55.29 points, or 1.5 percent, to 3,733.066.
This year's high-flying tech stocks - such as Facebook, up 3.2 percent at $48.28 and Amazon.com, up 2.3 percent at $305 - rebounded after several days of declines.
Presented by Adam Justice