Australian shares rose on Friday, driven by a rebound in tech stocks after Wall Street closed sharply higher overnight in a dramatic reversal as the United States unveiled more sanctions against Russia following Moscow's invasion of Ukraine.

The S&P/ASX 200 index rose 0.3% to 7,014.5 by 2336 GMT, but was still down more than 2.7% for the week - its worst in five. The benchmark fell nearly 3% on Thursday, marking its worst session since Sept. 4, 2020.

Investors regained much of their risk appetite following US President Joe Biden's unveiling of new sanctions against Russia. Sanctions cited included Russian banks and technology imports but did not involve oil and gas or the SWIFT international banking system.

Australian shares drop as Ukraine-Russia crisis deepens

In Australia, technology stocks soared 10%, tracking a rally on the tech-heavy Nasdaq, and recouped a large chunk of their losses suffered earlier in the week.

Australian shares of Block Inc soared by a record 42.2% on quarterly results, while Xero Ltd rose 5.7%.

Meanwhile, most other sectors were trading in negative territory, with gold and energy falling 1.1% and 2.5% respectively.

Energy stocks fell after oil prices pulled back from multi-year highs, with Santos and Woodside Petroleum down 1.7% and 4% respectively.

Gold stocks fell following a drop in bullion prices overnight. Newcrest, the country's largest gold miner, shed up to 3.8%, while Northern Star Resources fell 4.8%.

Lynas Rare Earth Ltd jumped 4.4% after it posted a record first-half profit, helped by a surge in demand for the minerals used in electric vehicles amid a global push for reducing carbon emissions.

Shares of Charter Hall Group rose as much as 7% and were set for their best day since August 2020 after reporting a near three-fold increase in half-yearly profit.

New Zealand's benchmark S&P/NZX 50 index was up 2.1% at 11,980.6.