FISCAL CLIFF

Stocks Rise After Boehner Signals Compromise

And Obama expresses confidence in a deal.

House Speaker John Boehner’s cautious optimism that the fiscal cliff may be averted gave investors a reason to rally on Wednesday. After weeks of volatile trading, the Dow Jones industrial average was up about 65 points this afternoon as was the S&P 500, which had gained more than four points on the day. Analysts say the markets were mostly responding to Boehner’s comments that he was optimistic a budget deal could be struck—despite the House Republicans’ aversion to raising taxes on the wealthy. President Obama also expressed hope Wednesday that a deal would be reached before the Bush tax cuts expire for all income groups.