- Indonesia's Mount Ibu erupts more than 1,000 times this month
- Sumo to stage event in Paris as part of global push
- Deadly strikes on Gaza after Israel says ceasefire delayed
- Badosa 'loves Coco' but is gunning for 'revenge' in Melbourne quarters
- Sabalenka, Gauff on Melbourne collision course as Alcaraz moves on
- Alcaraz into Australian Open quarters after Draper retires
- Sabalenka uses fighting spirit to banish Australian Open blues
- Sabalenka, Gauff on Melbourne collision course after reaching quarters
- Swiss rider Ruegg wins opening UCI World Tour event in Australia
- Mitchell scores 36 as Cavs bounce back, Celtics downed
- Sabalenka a happy snapper at Australian Open
- Gauff turns up heat on Bencic to reach Australian Open quarters
- Commanders stun Lions in NFL thriller, Chiefs advance
- Protesters storm S. Korea court after president's detention extended
- TikTok notifies US users of shutdown as Trump seeks last-ditch solution
- Ceasefire in Israel-Hamas war to begin at 0630 GMT
- Wuhan keen to shake off pandemic label five years on
- Sabalenka imperious as Djokovic, Alcaraz on Melbourne collision course
- 'Generational problem': Youth still struggling in pandemic's shadow
- Vaccine misinformation: a lasting side effect from Covid
- Sabalenka blows away Andreeva to reach Melbourne quarter-finals
- Hope, fear at Paris rally for Gaza hostages
- Separated by LA wildfires, a happy reunion for some pets, owners
- France's Moutet 'collapsed in shower' before Australian Open match
- In US, teleworkers don't want to turn back
- Covid's origins reviewed: Lab leak or natural spillover?
- Trump arrives in Washington ahead of Monday's inauguration
- Steady Straka takes four-shot lead in PGA Tour's American Express
- Kelce, Mahomes double-act leads Chiefs past Texans in NFL playoffs
- Barcelona's Balde complains of racist abuse in Getafe draw
- Frustrated Barca fail to capitalise on Atletico La Liga slip
- More Kenyan police land in Haiti to bolster security mission
- McGlynn leads youthful USA to friendly win over Venezuela
- Barcelona stumble to frustrating Getafe draw in title setback
- Lukaku fires Napoli six points clear at Atalanta, Juve sink Milan
- Milder winds help LA firefighters as Trump vows to visit
- S. Korean court extends impeached president's detention, angering supporters
- Wirtz has Leverkusen on Bayern's heels to keep repeat title 'dream' alive
- Arsenal must take blame for Villa fightback: Arteta
- Nunez late show extends Liverpool's lead, Arsenal held by Aston Villa
- Russian attacks kill six across Ukraine, Kyiv says
- Northampton, Leinster claim Champions Cup pool top spots
- Arsenal's title bid rocked by Villa fightback
- Superb Wirtz keeps Leverkusen on pace with leaders Bayern
- Detention extended for S. Korea's impeached president
- Thousands attend funeral of Liberian ex-warlord Prince Johnson
- Barcola strikes as PSG fight back to beat Lens
- Juventus into Serie A Champions League spots with victory over AC Milan
- Kane calls on Bayern to extend with pal Dier
- Kenya sends 217 more police officers to Haiti mission
Stocks rally before key Fed update
European and US stock markets powered higher Wednesday, recovering further from recent sharp losses, as traders await the outcome of a key Federal Reserve policy meeting.
Wall Street's main indices snapped higher at the opening bell, rebounding from losses on Tuesday. The Dow climbed 0.9 percent, with the broader S&P 500 rising 1.6 percent and the tech-heavy Nasdaq Composite jumping 2.5 percent.
The major European indices were also strongly higher.
After weeks of uncertainty, the US central bank delivers Wednesday its views on the state of the world's top economy and how officials plan to tackle decades-high inflation without knocking its recovery off course.
While Fed boss Jerome Powell has pledged that interest rate rises would be carefully calibrated, the prospect of higher borrowing costs has rattled markets across the world.
Most key indices have been deep in the red from the start of the year -- with Wall Street particularly hard hit.
Powell's comments Wednesday will be pored over for signs of the Fed's plans, which most commentators believe include a first hike in March.
"The big question going into this meeting for traders and investors is whether the Fed will increase... four times this year and when the first interest rate hike will take place," said Naeem Aslam, chief market analyst at Avatrade.
- Market buzz -
Part of the market's exuberance may also be speculation that Powell may tone down his remarks about the need to aggressively raise interest rates.
"There is even some buzz that Fed Chair Powell won't sound as hawkish as feared when he holds his press conference," said analyst Patrick J. O'Hare at Briefing.com.
"That view may come back to bite the market," he added.
Despite recent stock market volatility due to concerns over interest rate hikes, analysts believe investors remain relatively upbeat about the prospects for the global economy once the current wave of the Covid-19 pandemic wanes.
"Providing (a) boost to the stock markets is optimism that the economic recovery is going to speed up in the months ahead," said Fawad Razaqzada at ThinkMarkets.
Pent up demand for holiday travel will be unleashed as "travel restrictions continue to ease across Europe as Omicron cases decline and more people get double or triple vaccinated," he added.
Nevertheless, authorities are currently downgrading growth forecasts as the impact of the Omicron variant becomes clear.
Germany on Wednesday trimmed its 2022 growth forecast to 3.6 percent, down from 4.1 percent.
The International Monetary Fund on Tuesday lowered its growth outlook for the global economy saying it has started the year "in a weaker position than previously expected".
It said Omicron threatened to set back the recovery as countries impose containment measures, while other issues remained, including inflation and geopolitical tensions.
Included in those tensions is the standoff on the Ukraine-Russia border, with Moscow building up troop numbers and the West led by the United States warning the risk of an invasion "remains imminent".
US President Joe Biden said such a move would prompt "enormous consequences" and even "change the world", adding that he would consider imposing direct sanctions on Russian counterpart Vladimir Putin on top of a raft of measures being drawn up.
- Key figures around 1430 GMT -
London - FTSE 100: UP 1.8 percent at 7,504.16 points
Paris - CAC 40: UP 2.5 percent at 7,006.84
Frankfurt - DAX: UP 2.3 percent at 15,475.54
EURO STOXX 50: UP 2.3 percent at 4,172.30
New York - Dow: UP 0.9 percent at 34,617.19
Tokyo - Nikkei 225: DOWN 0.4 percent at 27,011.33 (close)
Hong Kong - Hang Seng Index: UP 0.2 percent at 24,289.90 (close)
Shanghai - Composite: UP 0.7 percent at 3,455.67 (close)
Euro/dollar: DOWN at $1.1288 from $1.1305 late Tuesday
Pound/dollar: UP at $1.3510 from $1.3507
Euro/pound: DOWN at 83.59 pence from 83.66 pence
Dollar/yen: UP at 114.24 yen from 113.87 yen
Brent North Sea crude: UP 1.3 percent at $89.37 per barrel
West Texas Intermediate: UP 1.1 percent at $86.50 per barrel
burs/rl/gw
J.Gomez--AT