US stock indexes rose Tuesday on reports that lawmakers in Washington are closing in on a budget deal.
The New York Times reported that the philosophical quibbling between the White House and House Republicans over the 2013 budget was over and the numbers are close.
The National Association of Home Builders said Tuesday that business confidence among builders had risen modestly in December for the eighth consecutive monthly gain.
In early afternoon trading, the Dow Jones industrial average added 110.31 points, 0.83 percent, to 13,345.70. The Standard and Poor's 500 gained 14.22 points, 0.99 percent, to 1,444.58. The tech-heavy Nasdaq composite added 38.55 points, or 1.28 percent, to 3,049.15.
In Tokyo, the Nikkei 225 index added 94.13 points, 0.96 percent, to 9,923.01.
In London, the FTSE 100 index gained 0.4 percent, 23.75 points, to 5,935.90.
The benchmark 10-year U.S. Treasury note fell 14/32 to yield 1.825 percent.
The dollar rose to 84.16 yen, up from Monday's 83.89 yen. The euro rose to $1.3229 from Monday's $1.3163.