(Updates to afternoon)

* Oracle drops on forecasting spending plans above estimates

* Tech stocks up after Wednesday declines

* Indexes up: Dow 1.4%, S&P 500 1.1%, Nasdaq 1.4%

By Caroline Valetkevitch and Joel Jose

June 11 (Reuters) - Wall Street's major indexes were sharply

higher in afternoon trading on Thursday, extending gains after

U.S. President Donald Trump said he has canceled planned strikes

against Iran.

Trump said negotiations with Tehran had advanced to the highest

levels of Iran's leadership and had been okayed by a broad

coalition of regional powers. Trump's comments on Truth Social

came hours before the strikes were expected to be carried

out. Oil prices dropped sharply on the news.

Early in the session, stocks were already higher, rebounding

from the prior session's selloff that sent major Wall Street

indexes down more than 1%. Technology stocks measured by the S&P

500 Technology Index ended down 11% from the June 2

record high close, confirming a correction.

"Our technical indicators are looking relatively oversold here,"

said Robert Phipps, a director at Per Stirling Capital

Management in Austin, Texas.

"Just as we had gone up too far, too fast, we came down too

far, too fast."

The Dow Jones Industrial Average rose 698.00 points, or

1.40%, to 50,617.83, the S&P 500 gained 77.92 points, or

1.07%, to 7,344.91 and the Nasdaq Composite gained

349.73 points, or 1.40%, to 25,521.18.

The S&P 500 has pulled back since hitting a record closing high

in early June as investors grappled with concerns about

stretched tech valuations and tighter monetary policy. The

Middle East conflict has stoked inflationary pressures.

Still, Oracle shares plunged 11.2% after the company

projected capital spending plans for fiscal 2027 above Wall

Street estimates.

The highly anticipated market debut of Elon Musk's SpaceX, set

to be valued at $1.75 trillion, is expected on Friday.

Advancing issues outnumbered decliners by a 2.62-to-1 ratio on

the NYSE. There were 170 new highs and 113 new lows on the NYSE.

On the Nasdaq, 3,366 stocks rose and 1,358 fell as advancing

issues outnumbered decliners by a 2.48-to-1 ratio.