The Australian share market has enjoyed its best day in three weeks amid enthusiasm for a big deal in the banking sector and a coalminer's stellar earnings report.
The benchmark S&P/ASX200 index finished on Monday up 81.5 points, or 1.23 per cent, to 6,687.1, while the broader All Ordinaries climbed 90 points, or 1.32 per cent, to 6,888.
"A sunny Monday, with the market carrying on from the momentum from the US stock market on Friday," said IG market analyst Hebe Chen.
ANZ's $4.9 billion purchase of Suncorp's banking arm and Whitehaven Coal's record fourth-quarter production report helped boost the Australian market, Ms Chen said.
ANZ shares were in a trading halt as the lender sought to raise $3.5 billion to fund the acquisition, but Suncorp finished up 6.1 per cent to a two-month high of $11.78.
Macquarie rose 3.2 per cent to $17.33, Westpac gained 1.3 per cent to $20.15, CBA added 1.0 per cent to $94.24.
The energy sector rose 2.2 per cent as oil prices showed signs of recovery after last week's sell-off, as US President Joe Biden's visit to Saudi Arabia ended without any immediate breakthrough.
Woodside Energy gained 2.2 per cent to $31.30, Santos added 2.4 per cent to $7.16 and Beach Energy advanced 3.3 per cent to $1.715..
Whitehaven Coal rose 5.2 per cent to an all-time closing high of $5.90 after announcing it expects to report full-year earnings of $3 billion, up from $200 million in FY21.
"Improved operational performance combined with record high coal price will underpin our strongest ever full-year result," said managing director and chief executive Paul Flynn.
The mining sector was up 1.2 per cent with BHP adding 2.4 per cent to $36.97 ahead of the release of its operational full-year review on Tuesday morning.
Rio Tinto gained 2.1 per cent to $95.27 and Fortescue climbed 3.4 per cent to $16.89.
Supermarkets Woolworths and Coles were down 0.2 per cent and 0.7 per cent, respectively, while tech stocks collectively added 2.9 per cent, in a sign that it was a risk-on day.
The Australian dollar was buying 67.30 US cents, from 67.31 US cents at Friday's close.
Looking ahead, Reserve Bank of Australia deputy governor Michele Bullock is set to deliver a speech at midday on Tuesday about how households are placed for interest rate increases.
ON THE ASX:
* The benchmark S&P/ASX200 index on Monday closed up 81.5 points, or 1.23 per cent, at 6,687.1.
* The broader All Ordinaries climbed 90 points, or 1.32 per cent, to 6,888.
One Australian dollar buys:
* 67.30 US cents, from 67.31 US cents at Friday's close
* 94.34 Japanese yen, from 93.34 yen
* 67.37 Euro cents, from 67.18 cents
* 57.24 British pence, from 56.93 pence
* 110.64 NZ cents, from 109.79 cents