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Investors have enjoyed a gain of about 1.5 per cent from the first session of 2021 on the Australian share market, after miners powered indices higher.

The S&P/ASX200 benchmark index closed higher by 97.1 points, or 1.47 per cent, to 6684.2 on Monday.

The All Ordinaries closed higher by 103.1 points, or 1.5 per cent, at 6953.7.

The materials sector rose 2.35 per cent, with Fortescue Metals closing 5.85 per cent higher and at a record price of $24.80.

The Aussie dollar was buying 76.93 US cents at 1624 AEDT, lower from 76.95 US cents at the close of trade from the previous session on Thursday.