Markets Rebound on Commodity Led Rally

Let’s see what happens after the Fed minutes later today….

“(Reuters) – Stocks advanced on Wednesday, lifted by energy and materials shares as commodity prices rebounded before the Federal Reserve’s release of its assessment of the economy later in the session.

The Federal Open Market Committee, which sets interest-rate policy, will release minutes of its April 26-27 meeting at 2 p.m. (1800 GMT). Investors will look for hints about the Fed’s “QE2” stimulus program, which is widely expected to end in June, and will scrutinize the minutes for any disagreements among officials.

U.S. crude oil futures rose more than 3 percent to climb back above $100 a barrel after a weekly government report showed inventories of crude unexpectedly fell in the United States last week as refinery utilization rose.

Chevron Corp (CVX.N) gained 2.2 percent to $102.60, providing the top lift to the Dow, while Exxon Mobil Corp (XOM.N) advanced 1.6 percent to $81.71. The PHLX oil service sector index .OSX climbed 2.6 percent. The S&P energy index .GSPE added 2.1 percent and was the top-performing S&P sector.

The Reuters/Jefferies CRB index .CRB, a broad measure of commodity performance, rose 2.2 percent. Before Wednesday’s advance, the CRB index was down more than 9 percent for the month.

The S&P materials index .GSPM gained 1.5 percent, boosted by mining company Freeport-McMoRan Copper & Gold (FCX.N), up 3.5 percent at $48.48.”

Full article