Updates to afternoon

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 .SPRLCT 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 .DJI rose 698.00 points, or 1.40%, to 50,617.83, the S&P 500 .SPX gained 77.92 points, or 1.07%, to 7,344.91 and the Nasdaq Composite .IXIC 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 ORCL.N 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.