A reinvigorated Australian stock market is expected to continue firmer this week after ending Friday on a stronger note just shy of record highs following losses earlier, dealers said.
They said that sentiment has become more confident, with the market recovered from its October downturn.
At the same time, the corporate news flow remains broadly supportive even if some, such as Telstra, is negative given the company's recent profit warning and announcement of a major restructuring.
The benchmark SP/ASX 200 index shed 22.3 points or 0.47 percent for the week at 4,648.8 while the broader All Ordinaries index fell 18.1 points to 4,592.5.
Despite the losses, AMP Capital Investors head of strategy Shane Oliver said the market was on track for further gains.
"Australian shares remain good value thanks to strong profits and still low bond yields, strong growth in China is continuing to provide solid support and the underlying net demand for shares is robust," Oliver said.