Stocks shot higher on Wednesday after the Federal Reserve said it will buy long-term Treasury bonds for the first time in four decades in an effort to revive the recession-hit economy.

The Dow Jones industrial average <.DJI> gained 90.88 points, or 1.23 percent, to end unofficially at 7,486.58. The Standard & Poor's 500 Index <.SPX> rose 16.23 points, or 2.09 percent, to 794.35. The Nasdaq Composite Index <.IXIC> added 29.11 points, or 1.99 percent, to 1,491.22.

(Reporting by Rodrigo Campos; Editing by Jan Paschal)