Australian shares rose for a third session on Monday, driven by a rally in energy and gold stocks on strong underlying commodity prices amid the Middle East violence, while Wall Street’s robust finish last week also lifted investor sentiment.
The S&P/ASX 200 index gained 0.5% to 6,987.8 by 2359 GMT, starting the week on a strong note after shedding more than 1.3% last week.
Israel pounded the Palestinian enclave of Gaza on Sunday, killing hundreds of people for one of the bloodiest attacks in its history when Islamist group Hamas killed 700 Israelis and abducted dozens more.
Brent crude futures jumped $2.93 to $87.51 a barrel, while US crude climbed $3.04 to $85.83 per barrel.
Major Wall Street indexes closed higher on Friday as investors assessed a jobs report that showed US hiring rose broadly in September.
Back in Sydney, energy stocks were the top gainers on the benchmark index, rising 2.3% as oil prices shot up. Gas and oil giants Woodside and Santos added 2.6% and 2.3%, respectively.
Mining stocks rose 1.5%. Chinese markets will resume trading after a week-long holiday.
Australian shares inch higher; focus on US jobs data
BHP Group, Rio Tinto and Fortescue gained between 0.5% and 1.4%.
Gold stocks rose 4.8% as bullion prices extended gains. Australia’s largest gold miners Newcrest Mining and Northern Star Resources climbed 4.9% and 5.5%, respectively.
Financials rose 0.3%, with ANZ Group up 0.4%. Across the Tasman Sea, New Zealand’s benchmark S&P/NZX 50 index fell 0.5% to 11,229.84.
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