updated 1/2/2013 9:34:49 AM ET 2013-01-02T14:34:49

NEW YORK (Reuters) - Stocks soared on the first day of trading in 2013 after lawmakers agreed a deal to avoid massive tax hikes and spending cuts that had threatened to hurt economic growth.

The Dow Jones industrial average <.DJI> surged 149.41 points, or 1.14 percent, at 13,253.55. The Standard & Poor's 500 Index <.SPX> was up 19.17 points, or 1.34 percent, at 1,445.36. The Nasdaq Composite Index <.IXIC> was up 74.47 points, or 2.47 percent, at 3,093.98.

Wednesday marked the best day for the Nasdaq since June 30.

(Reporting by Ryan Vlastelica; Editing by Bernadette Baum)

(c) Copyright Thomson Reuters 2013. Check for restrictions at: http://about.reuters.com/fulllegal.asp

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