Stocks advanced amid optimism that budget talks are making progress in Washington. The S&P 500 has now erased almost all of its post-election losses. The Dow and S&P both rose for the fifth straight day.

The Dow Jones industrial average rose 78.56, or 0.6 percent, to 13,248.44.

The S&P 500 gained 9.29, or 0.7 percent, to 1,427.84.

The Nasdaq composite index rose 35.34, or 1.2 percent, to 3,022.30

For the week:

The Dow is up 93.31, or 0.7 percent.

The S&P is up 9.77, or 0.7 percent.

The Nasdaq is up 44.26, or 1.5 percent

For the year:

The Dow is up 1,030.88 or 8.4 percent.

The S&P is up 170.24, or 13.5 percent.

The Nasdaq is up 417.15 or 16 percent.