Major Averages Close Firmly Positive, Nasdaq Reaches 13-Year High

(RTTNews) - Stocks moved sharply higher during trading on Wednesday, as news of an agreement in the Senate generated optimism that the latest fiscal crisis in Washington will finally be resolved. The gains on the day offset yesterday's weakness and lifted the Nasdaq to a new thirteen-year high.

Reflecting the broad based buying interest in response to the news out of Washington, most of the major sectors ended the day showing strong moves to the upside.

Biotechnology stocks posted particularly strong gains, resulting in a 3.3 percent jump by the NYSE Arca Biotechnology Index. Regeneron (REGN) surged up by 5.9 percent after reporting positive results from a late-stage trial of a new type of cholesterol drug.

Significant strength was also visible among banking stocks, as reflected by the 2.4 percent gain posted by the Dow Jones U.S. Banks Index. With the gain, the index reached its best closing level in a month.

Natural gas stocks also moved sharply higher on the day, driving the NYSE Arca Natural Gas Index up by 2 percent to a record closing high.

Telecom, commercial real estate, brokerage, and health insurance stocks also saw considerable strength, while gold stocks were among the few groups that bucked the uptrend.

After showing a strong move to the upside in early trading, the major averages remained firmly positive throughout the session. The Dow soared 205.82 points or 1.4 percent to 15,373.83, the Nasdaq jumped 45.42 points or 1.2 percent to 3,839.43 and the S&P 500 surged up 23.48 points or 1.4 percent to 1,721.54.