Dow futures up 110

Stock futures are rallying strong on Wednesday morning ahead of the market open.

Near 9:07 a.m. ET, Dow futures were up 111 points, S&P 500 futures were up 11 points, and Nasdaq futures were up 29 points.

The S&P 500 closed at its highest level for the year on Tuesday, after Federal Reserve chair Janet Yellen said in a speech that rate increases warrant extra caution.

In a client note, Accendo Markets’ Mike van Dulken wrote, “Her taking control of what had become a mixed Fed message of late, her emphasis on ‘proceeding cautiously’ with US interest rate rises and her highlighting of global economic and financial uncertainty (China, oil) suggests it unlikely that April will see another hike.”

“This should be supportive of risk appetite in the run-up to Friday’s all-important US jobs report.”

We got ADP’s private payrolls data ahead of the open, which showed a more-than-expected gain by 200,000 for March, with a downward revision by 9,000 to 214k for February. That was the only major thing on Wednesday’s economic-data calendar.

Yellen’s comments are putting downward pressure on the dollar, which is now on pace to record its worst month in five years.

Business Insider’s Elena Holodny is tracking the full FX reaction to Yellen’s comments here.

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