The good times on Wall Street rolled on overnight, this time with US stocks soaring on the back of Janet Yellen’s Congressional testimony.
In her first major speech as the Federal Reserve chairwoman, Yellen pledged to continue stimulus tapering and leave interest rates at record lows.
Investors were relieved that Yellen is staying the course with regards to Fed policy, which helped propel the Dow to a fourth consecutive gain.
The blue chip index is now up almost four percent over the past four sessions, its strongest run of gains since June 2012.
There were gains all round in commodity markets. Gold leapt to its highest since November after Yellen refrained from announcing more aggressive stimulus tapering measures.
In currency markets, the Aussie powered through 90 US cents as yesterday’s positive business confidence data added to signs of a pickup in Australian economic growth.
In company news, CBA has reported a 14% increase in half year cash profit, beating analyst estimates. The group’s interim dividend also represented a 12% rise on the prior corresponding period.
On the economic front, the Westpac Consumer Sentiment Survey is due for release at 11:30am, AEDT.