US stocks surge amid Fed minutes

The US stocks posted solid gains on Wednesday as Wall Street assessed the Federal Reserve's October meeting minutes released in the afternoon.

The Dow Jones Industrial Average gained 146.84 points, or 0.84 percent, to 17,636.34. The S&P 500 was up 17.46 points, or 0.85 percent, to 2,067.90. The Nasdaq Composite Index rose 44.92 points, or 0.90 percent, to 5,030.93, reports Xinhua news agency.

According to the minutes, the Federal Open Market Committee (FOMC) decided to indicate that in determining whether it would be appropriate to raise the target range at its next meeting, it would assess both realized and expected progress toward its objectives of maximum employment and 2 percent inflation.

Most participants anticipated that, based on their assessment of the current economic situation and their outlook for economic activity, the labour market, and inflation, these conditions could well be met by the time of the next meeting.

Analysts believed that the US central bank will begin raising interest rates next month.

"December is most definitely on the table. The minutes are unusually clear on this point," said Chris Low, chief economist at FTN Financial.

On the economic front, the US privately-owned housing starts in October were at a seasonally adjusted annual rate of 1.06 million, below market estimates, said the Commerce Department Wednesday.

In corporate news, shares of Apple jumped 3.17 percent to $117.29 apiece on Wednesday after Goldman Sachs issued a bullish note on the iPhone maker.

Shares of Target tumbled 4.29 percent to $69.78 apiece on Wednesday even after the company announced better-than-expected quarterly earnings.

The retail giant said third quarter adjusted earnings per share of 86 cents was above the midpoint of the company's guidance of 79 cents to 89 cents.

The CBOE Volatility Index, often referred to as Wall Street's fear gauge, sharply declined 10.56 percent to end at 16.85 on Wednesday.

In other markets, oil prices gained as the US stockpiles added less-than-expected.

The US dollar increased against most major currencies as the newly-released Fed minutes for its latest meeting bolstered the prospect of a year-end rate hike.

In late New York trading, the euro fell to $1.0647 from $1.0650 in the previous session, while the dollar bought 123.55 Japanese yen, higher than 123.40 yen of the previous session.

Gold futures on the COMEX division of the New York Mercantile Exchange rose as worse-than-expected US economic data gave support to the precious metal.

The most active gold contract for December delivery rose $0.1, or 0.01 percent, to settle at $1,068.70 per ounce.