The Australian share market has closed at its highest level in more than two months, buoyed by gains in materials, energy and utility stocks amid soaring commodity prices.
The benchmark S&P/ASX200 index ended 19.1 points, or 0.26 per cent higher, at 7406.2 on Friday, recording an increase for the fourth straight session.
The index finished nearly 1.5 per cent higher for the week.
The All Ordinaries index closed up 20.9 points, or 0.27 per cent, to 7689.9.
The gains were in line with choppy trading across Asia Pacific markets as investors eyed bargains despite the ongoing disruptions in commodity markets due to the war in Ukraine.
“Despite everything that’s going on at the moment, commodity prices have generally been on the way up, partly because of what’s happening in Ukraine,” CommSec markets analyst Steven Daghlian said.
“That has been quite helpful for many of our resource stocks,” he added.
Local investor sentiment also received a boost after US stock indices rallied overnight, with traders snapping up beaten-down tech and growth shares.
Oil prices also retreated as Western allies agreed to increase military aid to Ukraine and tighten sanctions on Russia, whose invasion of its neighbour has entered a second month.
The improved sentiment translated into gains for heavyweight local mining and energy stocks, while utilities also rose.
Gains in materials were led by BlueScope Steel, which jumped 5.1 per cent to $21.46, while nickel producer IGO climbed more than three per cent each.
Each of the big three miners – BHP, Rio Tinto and Fortescue climbed between 0.7-1.8 per cent as iron ore prices continued to hover around a high of $US150 a tonne.
Gold stocks jumped for a second straight session as the price of the safe-haven metal rose further. Gold miner Newcrest rose 3.5 per cent, while smaller rivals Evolution, Northern Star and Regis Resources climbed more than 2 per cent each.
Oil prices edged lower but still remain well above the $US100 a barrel mark. That was enough for energy stocks including Woodside, Santos and Beach Energy to rise 0.6-1.2 per cent.
It also boosted utility stocks such as LNG exporter Origin Energy, which rose 1.3 per cent.
Financial stocks finished lower, with each of the big four banks closing in the red, although AMP and Macquarie Group shares closed higher.
Healthcare stocks were also under pressure led by ResMed, CSL and Healius, each of which lost more than 1.0 per cent in value.
Premier Investments dropped 1.6 per cent to $28.48 after the owner of Smiggles, Peter Alexander and Portmans brands reported a 13 per cent drop in first-half net profit of $163.6 million, largely due to the impact of lockdowns.
Meanwhile, the Australian dollar hit a four-and-a-half month high of 75.30 US cents by 1710 AEDT boosted by expectations of higher interest rates and booming commodity prices. The local currency had closed at 74.81 US cents on Thursday.
ON THE ASX
* The benchmark S&P/ASX200 index ended 19.1 points, or 0.26 per cent higher, at 7406.2 on Friday.
* The All Ordinaries index closed up 20.9 points, or 0.27 per cent, to 7689.9.
* At 1710 AEDT, the SPI200 futures index was down one point, or 0.01 per cent, at 7379 points.
CURRENCY SNAPSHOT
One Australian dollar buys:
* 75.30 US cents, from 74.81 cents on Thursday
* 91.73 Japanese yen, from 90.85 yen
* 68.31 Euro cents, from 68.14 cents
* 57.00 British pence, from 56.72 pence
* 107.88 NZ cents, from 107.57 cents.
