Australia’s share market rose to its highest level since March after Joe Biden’s victory in the US election gave investors certainty.
The S&P/ASX200 benchmark index was up 103 points, or 1.66 per cent, to 6293.2 at 1200 AEDT on Monday.
The All Ordinaries rose 111.8 points, or 1.74 per cent, to 6506.8.
The ASX is at its best levels since March, when the indices were in the early weeks of a freefall as severe coronavirus prevention measures were enacted across Australia.
All sectors were higher, although the materials sector, which includes the miners, was best. It rose 2.63 per cent.
US stock index futures rose on Sunday after President-elect Joe Biden was declared the winner after days of counting votes.
President Donald Trump has vowed to challenge the result in the courts, although has yet to substantiate his claims of electoral fraud.
Investors’ attention may turn to the nation’s efforts to lower coronavirus infections, after the US became the first country to exceed 10 million cases.
In Victoria, the travel barrier separating Melbourne from regional areas has been scrapped after the state regained control of the coronavirus.
The 25km travel limit for Melbourne residents has also been scrapped, and gyms and cinemas and other venues have been allowed to trade.
The state has had 10 consecutive days without a new COVID-19 case or death.
On the ASX, the big miners were benefiting from the market-wide upswing.
BHP rose 3.18 per cent to $35.77, Rio Tinto gained 2.51 per cent to $95.75 and Fortescue climbed 3.98 per cent to $17.21.
Cinema and theme park operator Village Roadshow has updated shareholders on the offer from potential suitor, Melbourne-based private equity firm BGH Capital.
Village has recommended shareholders accept BGH’s offer to buy shares under two schemes for $2.32 and $2.22 per share.
Shares were up 2.62 per cent to $2.35.
Broadcaster Nine has signed a $100 million deal with Rugby Australia to show Wallabies, Super Rugby and other games on its free-to-air and Stan subscription service.
Shares gained 1.52 per cent to $2.32.
Among the banks, ANZ traded ex-dividend and was down 1.12 per cent to $19.38. The Commonwealth was up 0.85 per cent to $70.39, NAB rose 1.3 per cent to $19.82 and Westpac edged higher by 0.56 per cent to $17.87.
US stocks closed Friday’s session little changed, but each of the three major indexes still managed to notch their biggest weekly percentage gains since April, in part due to the belief Congress will remain divided even as control of the Senate is still undecided.
The Aussie dollar was buying 72.72 US cents at 1200 AEDT, higher from 72.65 US cents at Friday’s close.