Steven Cross
The head of the United States Reserve Bank has boosted international sentiment by pledging another round of economic stimulus if needed.
The benchmark ASX 200 Index surged 0.6 per cent after the announcement was made.
US Federal Reserve chairman Ben Bernanke said the central bank expected to keep interest rates near zero until late 2014 and that economic growth was picking up.
Mr Bernanke also forecasted unemployment in the US to fall to around 8 per cent by the end of the year.
However he conceded that "it's still a little too premature to declare victory," and outlined plans if the economy started to downturn again.
"We remain entirely prepared to take additional balance sheet actions if necessary to achieve our objectives," he said.
"Those tools remain entirely on the table and we will not hesitate to use them should the economy require that additional support."
