The Australian share market has closed higher in the wake of the European Central Bank’s economic stimulus measures and ahead of jobs figures to be released in the United States overnight.
Also, Chinese trade figures are due at the weekend.
“The European Central Bank (ECB) decision to stimulate the economy over there has given a fillip to some stocks,” CMC Markets chief market analyst Ric Spooner said.
Mr Spooner said banks and other stocks offering good yields on the local bourse had lifted in particular.
Local investors believed that investors in Europe would now be chasing stocks with high yields around the world, in the wake of the ECB’s measures to cut interest rates and encourage banks to lend more money.
Mr Spooner said that on the negative side, more downward pressure on iron ore prices was hurting some of the big mining stocks.
The next catalyst for the Australian market would be US non-farm payroll figures for May to be released overnight and data on Chinese exports over the weekend.
However, a long weekend in most Australian states meant that local investors will have to wait until Tuesday to respond to the news from abroad.
Among the major banks, National Australia Bank strengthened 30 cents to $33.53, Westpac improved 35 cents to $34.55, ANZ advanced 44 cents to $33.67, and Commonwealth Bank lifted 82 cents to $81.77.
In the resources sector, global miner BHP Billiton was up four cents at $36.24, Rio Tinto was down 25 cents at $59.40, and Fortescue Metals lost 13 cents at $4.52.
KEY FACTS
* At 1618 AEST on Friday, the benchmark S&P/ASX200 index was up 27.1 points, or 0.5 per cent, at 5,464.0 points.
* The broader All Ordinaries index was up 23.8 points, or 0.44 per cent, at 5,443.5 points.
* The June share price index futures contract was 21 points higher at 5,463 points, with 22,472 contracts traded.
* National turnover was 1.49 billion securities worth $3.74 billion.
