Investors drove the Dow Jones industrial average to an all-time high Tuesday on expectations that the Federal Reserve will keep its economic stimulus programme in place.
The Dow rose 111.42 points, or 0.7 per cent, to 15,680.35. The Dow also got a big boost from IBM, which announced that it would buy US$15 billion more of its own stock.
Oil fell 48 cents to US$.98.20; gold dropped US$6.70 to US$1,345.50 an ounce.
The Fed is in the middle of a two-day policy meeting at which it's expected to maintain its US$85 billion worth of bond purchases every month. That programme is aimed at stimulating economic growth by keeping borrowing rates very low.
The Fed will announce its decision Wednesday afternoon.
"The expectation that the Fed remains clearly on hold is the catalyst for this march higher," said Quincy Krosby, a market strategist at Prudential Financial.
IBM rose US$4.77, or 2.7 per cent, to US$181.12, accounting for about a quarter of the Dow's gain.
The Standard & Poor's (S&P) 500 index rose 9.84 points, or 0.6 per cent, to 1,771.95, its seventh record high this month.
About half the companies in the S&P 500 have reported earnings for the third quarter. So far, most are doing better than investors expected. Companies in the index are forecast to log third-quarter earnings growth of 4.5 per cent, according to data from S&P Capital IQ.
The Nasdaq composite rose 12.21 points, or 0.3 per cent, to 3,952.34.