Stocks close at more than 1% after Fed statement

U.S. stocks closed up more than 1 percent, near session highs, on Wednesday October 28 after the October Fed statement gave investors more confidence in the possibility of a December rate hike.

The Dow Jones industrial average closed up also at about 197 points after briefly falling 24.7 points after the 2 p.m. Eastern Standard Time, statement release today. The index rose about 130 points prior to the statement release.

Goldman Sachs and Apple contributed the most to gains as expected and Procter & Gamble weighed the most on the index in the close.

The S&P 500 and Nasdaq composite gained more than 1 percent.

Bank stocks also held higher despite a brief decline in the major averages, with the SPDR S&P Regional Banking ETF up more than 3.5 percent.

Financials also jumped up 2 percent to lead advancers in the S&P 500. After the close Tuesday, Apple reported quarterly profits of $1.96 per share, which is 8 cents above estimates. Revenue was also slightly above forecasts. The company sold more than 48 million iPhones during the quarter and nearly doubled its China sales which helped them to reach these numbers.

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