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U.S. stocks are looking to correct the correction on Wednesday -- with the blue chip Dow up over 200 points in early trade. Investors are building off Tuesday's 215 point gain thanks to strength from Citigroup after a 7 and a half billion dollar cash infusion from the Abu Dhabi government. The spark for Wednesday's rally: hopes for an interest rate cut. This after Federal Reserve Vice Chairman Donald Kohn spoke of the need for more flexible monetary policy -- the remarks sending bank shares higher. Citigroup leading the pack with a 7 percent gain. All this positive momentum helping to reverse recent losses that had pushed U.S. stock markets 10 percent below its October highs- the market definition of a correction. Moving over to the oil trading pits: U.S. prices continuing to fall, down over 2 dollars a barrel after weekly inventory data showed a smaller than expected drop in supplies. Crude oil now trading in the 92 dollar a barrel range -- one week after prices flirted with 100 dollars a barrel. For Reuters, I'm Diane King in New York. COMPANIES MENTIONED: SYMBOLS: