US equities rose sharply higher overnight, a day after the Fed hinted it may be done with interest rate hikes and a batch of upbeat quarterly earnings updates added to the bullish sentiment. The Dow ended near best levels, up 565 points (1.70%). Dow traded higher all day, with a high of +578 points and a low of +175 points. The S&P 500 posted its fourth consecutive gain and its biggest one-day percentage gain since April, up 1.89%. Also, the benchmark closed above its 200-day moving average for the first time since October 24th. The NASDAQ rose for its fifth consecutive day of gains, up 1.78%, and the Russell 200 Index rose 2.7%, its biggest one-day percentage gain since June 6th. The VIX fell below 16 and breached a key technical level, down 7.3%. Long-dated Treasurys fell, 10Y yield down 9.8bps, and the USD Index fell -0.67% as the pound gained after the BoE pushed back on talk of rate cuts. Among stocks, Starbucks is up 9.5% on good results. Roku jumped 30.7% on strong Q4 guidance, and Paypal’s shares rose 6.6% after the company raised its full-year adjusted profit forecast.

ASX to rally. SPI Futures up 85 points (+1.23%).

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