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In the wake of the news, the Dow Jones industrial average rose 0.6 per cent to 75.42 points, reports the Associated Press, while the Standard & Poor's 500 index climbed 0.7 per cent.
Gains were also seen in the Nasdaq composite, which increased by 0.4 per cent.
The upturn in market fortunes brought to an end a six-day streak of declines for America's biggest markets and also represented the first time in June that stocks have risen.
Anthony Chan, chief economist for JP Morgan Private Wealth, said stocks had appeared to be relatively cheap following the one-week slump.
"Markets usually swing like a pendulum," he added. "This decline has been strong enough that you can easily justify the market taking a breath."
The FTSE 100 also enjoyed a strong day of stock market trading yesterday, finishing up by 47 points at 5,856.
Posted by Clive Arneil
