YAHOO [BRIEFING.COM]: Strength wavered a bit in the wake of the latest FOMC Policy Statement, but stocks ultimately settled with solid gains as buyers stepped back in after the equity market suffered a two-day drubbing.

Entering today's trade stocks had fallen about 5% in just two sessions. Selling was driven by concerns that the implementation of a eurozone bailout package could be disrupted by a referendum issued by Greece. However, concerns over the matter were tempered by expectations that the European Central Bank will discuss the referendum's implications ahead of its latest policy statement, which is scheduled for tomorrow morning.

The FOMC issued its most recent statement today. To little surprise, the FOMC kept its target interest rate at 0.00% to 0.25%. It also stated that the Fed remains prepared to employ its tools to promote a stronger economic recovery and that it will continue to extend the average maturity of its securities holdings. In a question and answer session, Fed Chairman Bernanke indicated that under the right conditions the Fed's purchase of mortgage-backed securities would be considered.

Just before Bernanke's press conference began the Fed's revised growth forecast was released. For fiscal 2011 the Fed expects economic growth to range from 1.6% to 1.7%, down from the range of 2.7% to 2.9%. For 2012, growth is expected the range from 2.5% to 2.9%, down from a range of 3.3% to 3.7%. Additionally, the Fed raised its long-run umemployment rate forecast to 5.6% from 5.4%.

Stocks descended to session lows between the FOMC statement and Bernanke's press conference. They gradually worked their way upward in late afternoon trade, but never returned to the highs that were set in the first half of the session. Still, buying was both strong and broad.

All 10 major sectors settled in positive territory, but energy and financial stocks were the best performers. Both sectors ended the day with gains close to 3%.

MasterCard (MA 357.66, +23.36) was one of the strongest performers on an individual level. Better-than-expected earnings and broad market strength helped the stock reach a record high. On average, earnings continue to exceed Wall Street's expectations.

Data helped provide a positive backdrop to trade. The latest ADP Employment Change showed that private payrolls increased by 110,000 in October. That exceeded the increase of 100,000 that had been widely anticipated. The ADP report provides a glimpse into the offiical jobs report, which will be released Friday morning.

Commodities rebounded in morning trade, aided by dollar weakness, following yesterday's sell-off. A late session rally in the dollar after today's FOMC decision, as well as some more headlines relating to the Greek bailout, helped the dollar recoup a majority of its losses. This rebound pressured commodities. Gold futures ended higher by 0.3% at $1734.20 per ounce, while silver gained 0.5% to finish at $34.09 per ounce. Both metals dropped sharply heading into the close of pit trade to give back the vast majority of their gains.

Crude oil settled higher by 0.4% at $92.51 per barrel. This morning's larger-than-expected build in inventories initially pushed crude lower. The late session move higher in the dollar added to the sell-off. Natural gas finished off 0.9% at $3.75 per MMBtu. Futures pulled back toward lows heading into the close to finish with losses for the third consecutive session.

Advancing Sectors: Energy +2.9%, Financials +2.8%, Materials +2.2%, Industrials +1.8%, Utilities +1.7%, Telecom +1.3%, Tech +1.1%, Consumer Discretionary +1.1%, Consumer Staples +0.8%, Health Care +0.6%
Declining Sectors: (None)DJ30 +178.08 NASDAQ +33.02 NQ100 +0.9% R2K +2.7% SP400 +2.2% SP500 +19.62 NASDAQ Adv/Vol/Dec 1958/1.92 bln/563 NYSE Adv/Vol/Dec 2506/957 mln/499