The share market has closed higher due to indications economic stimulus in the US is likely to run into next year.
Janet Yellen, nominated to take over as head of the US Federal Reserve, has said the US economy was running “far short” of its potential.
That was interpreted as a sign stimulus would not be ending soon, as investors have been suspecting.
Most sectors of the local market posted gains, recovering from losses on Wednesday.
“After yesterday’s aberration, the overnight result from the US provided some stability for today and what you’re seeing is essentially a relief rally given the stability in the US that we saw overnight,” Morgans adviser Alistair McCorquodale said.
Mining giant BHP Billiton added 19 cents to $37.82, Rio Tinto gained 50 cents to $65.13, but Woodside Energy dropped 25 cents to $38.64.
The banks recovered after several days of losses, with ANZ up 40 cents at $31.84, Westpac up 38 cents at $32.65, Commonwealth Bank up 89 cents at $77.20 and NAB up 13 cents at $33.78.
The best performer on the market was building products maker James Hardie, which more than doubled its half year profit to $US194 million ($A208.52 million).
Its shares gained $1.56, or 15 per cent, to $12.00, a record high.
Department store retailers also performed well.
Myer gained 21 cents, or 7.7 per cent, to $2.93 and rival David Jones added 15 cents, or 5.2 per cent, to $3.06.
KEY FACTS
* At the close on Thursday, the benchmark S&P/ASX200 index was up 36.2 points, or 0.68 per cent, at 5,355.4.
* The broader All Ordinaries index was up 34.5 points, or 0.65 per cent, at 5,352.
* The December share price index futures contract was 27 points higher at 5,363 with 32,415 contracts traded.
* National turnover was 1.7 billion securities worth $3.9 billion.
