S&P/ASX 200 index: Australia shares close higher on hopes for further U.S. stimulus
The approval will allow lawmakers to muscle Biden’s plan through in the coming weeks without Republican support.
Comments by the U.S. Treasury Secretary Janet Yellen further lifted sentiment, after she predicted that the United States would hit full employment next year if Congress could pass its support package.
The S&P/ASX 200 index rose 0.6 per cent to 6,880.7 at the close of trade.
Higher iron ore prices helped miners outperform all other sectors on the benchmark, as a positive demand outlook for the steelmaking ingredient in the world’s top steel producer China buoyed prices.
The subindex rose 2.1 per cent, with global miners BHP Group and Rio Tinto gaining 2.4 per cent and 3.4 per cent, respectively.
Tech stocks advanced 0.8 per cent, with buy-now-pay-later company Afterpay rising 1.4 per cent, and property advertisement website REA Group up 3.2 per cent.
Energy stocks were also higher, helped by a rise in oil prices as supply cuts among key producers and hopes for further U.S. economic stimulus measures helped.
Oil & gas explorers Woodside Petroleum and Santos Ltd were up 0.6 per cent and 1.9 per cent, respectively.
Meanwhile, fibre and network solutions provider Vocus Group was among the top gainers on the benchmark index after it said Macquarie’s funds had lodged an offer to acquire the company for A$3.42 billion ($2.62 billion).
The number of issues on the ASX that advanced were 1,007 while 825 declined.
New Zealand’s benchmark S&P/NZX 50 index rose 0.5 per cent, helped by gains among financial and utility stocks.
($1 = 1.3034 Australian dollars)
