(MENAFN- ProactiveInvestors) U.S. stocks swung to end sharply Wednesday even after the Fed removed the word "patient" from its policy statement as the central bank also scaled back the pace of the expected rate hike indicating the increase in interest rates may not take place until September.
Despite the removal of the word "patient" from its guidance on interest rates which shows the central bank is ready to take modest steps toward rising rates Fed chief Janet Yellen reiterated that the timing of the initial increase will depend on the committee's assessment of incoming information. She said that today's modification should not be interpreted to mean that the Fed has decided on the timing of the increase and that the removal of the word "patient" doesn't equal impatience.
Yellen also stressed that even after the initial increase the Fed's policy is likely to remain "highly accommodative" to support progress towards its goals of maximum employment and 2% inflation.
At the closing bell in New York the Dow Jones Industrial Average added 227 points to 18076 while the Nasdaq soared 46 points to end at 4983 and the S&P 500 gained 25 points to finish at 2099.
In energy trading oil futures settled higher today as a drop in the dollar following the 's policy statement outstripped earlier pressure from a 10th straight weekly rise in U.S. crude inventories. West Texas Intermediate for April delivery rose 2.8% for the session to settle at $44.66 a barrel on the New York Mercantile Exchange.
April gold on the Comex settled at $1151.30 an ounce up 0.3% before the Fed announcement but rose past $1170 an ounce in electronic trading post-Fed comments.
In corporate activity () shares fell despite reporting a 53% increase in profit as the company's outlook was soft. Earnings during the holiday quarter were helped by lower fuel costs milder weather and recent restructuring efforts.
() reported fiscal third quarter results that topped views while also saying it plans to cut a total of 800 jobs in the next couple of months. It anticipates taking a $146 million charge for its plan which is expected to be completed by the end of fiscal 2015 which ends in May.
(NYSE:ORCL) shares gained almost 3% after earnings met expectations while revenue missed views last night. THe company also raised its quarterly dividend by 25% to 15 cents a share.
Adobe Systems () posted earnings and revenues that topped estimates but the software maker saw a worse-than-expected increase in subscribers to its Adobe Cloud service. Still this figure was up 28% from a year ago. Shares fell 3.5% on Wednesday.
American Express () meanwhile is teaming up with companies such as Macy's () () AT&T () and () to launch a loyalty program called Plenti. The news comes as the company prepares for the end of its 16-year relationship with (NASDAQ:COST). Shares gained almost 1% on the news.
European markets settled mixed on Wednesday while Asian shares ended higher. Japan's Nikkei rose 0.55% after data showed exports rising at a faster-than-expected pace in February and Nintendo jumped on its entrance to the smartphone gaming industry.
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