Investors began buying shares at around five-year lows, amid further signs of easing in credit markets, following the inflow of money from Washington.

The Dow Jones (overnight AEST time) industrial average rose 267.70 points, or 2.9pc, to 9,587.53. The Standard & Poor's 500 Index gained 34.86 points, or 3.6pc, at 1,001.16. The Nasdaq Composite Index was up 48.40 points, or 2.8pc, at 1,774.73.

The candidates for president, Democrat Barack Obama, a 47-year-old senator from Illinois, and Republican John McCain, a 72-year-old senator from Arizona, are offering starkly different directions.

They have very different approaches to stabilising US financial markets and very different farm and trade policies.

The US mid-west and southern broadacre farm states mostly have voted strongly Republication in the past, and these states were key players in the election of president Bush.

In contrast, many of the coastal states to the east and west of the US have been strong Democrat states.

Australian shares are pointed higher on Wednesday, with the main ASX futures contract here up 134 points overnight, to 4345 points.

On Tuesday, Australia's key S&P/ASX200 share index rallied late in the day, after the Reserve Bank interest rate cut of 0.75pc, to end almost flat.

The Australian dollar surged overnight, jumping about US2c, to US69.48c, in Wednesday morning trading and it was buying 69.25 yen.