The Australian share market has closed more than one per cent higher amid optimism around a resolution to the Greek debt crisis.
Greece’s parliament will have its say on a tough bailout package from European lenders on Wednesday night Australian time.
“Expectations of a favourable vote in Greece have spurred on the local market,” Bell Potter Securities senior advisor Stuart Smith said.
The rise in domestic stocks also came despite mining giant BHP Billiton flagging a $US2.8 billion hit to its full-year earnings due to writedowns in its US oil and gas assets.
Mr Smith said gains, despite losses in the resources sector, have highlighted the domestic market’s resilience.
“Resources aren’t everything. The big banks are doing well and there’s also positivity around the upcoming reporting season.”
Mr Smith said he expected the big miners to bounce back.
In the resources sector, global miner BHP Billiton was down 20 cents, or 0.74 per cent, at $26.90, Rio Tinto lost five cents, or 0.09 per cent, to $53.12, and Fortescue Metals Group fell 1.5 cents to $1.775.
Among the major banks, ANZ was up 22 cents at $32.42, Commonwealth Bank rose 87 cents to $87.12, National Australia Bank gained 31 cents to $33.78, and Westpac was higher 39 cents to $34.00.
In company news, shares in troubled mining services group Bradken leapt by 16.82 per cent to $1.25 after it moved to reassure investors it was on track to meet its earnings forecast, despite its share price dipping to a record low of $1.07 in the past month.
amaysim, the fourth largest independent mobile provider in the country, enjoyed a solid debut on the ASX, rising 10 cents to $1.90.
In economic news, the Westpac/Melbourne Institute index revealed consumer confidence sagged in July to its lowest point in seven months.
KEY FACTS
* On Wednesday, the benchmark S&P/ASX200 index was up 58.8 points, or 1.05 per cent, at 5636.2 points.
* The broader All Ordinaries index was 57.1 points, or 1.03 per cent, higher at 5619 points.
* The September share price index futures contract gained 61 points at 5579 points, with 26,511 contracts traded.
* National turnover was 1.9 billion securities worth $4.99 billion.
