THE Australian share market closed today in positive territory, heartened by strong labour figures and solid trading in offshore markets.
The benchmark S&P/ASX200 index closed up 45 points, or 0.99 per cent, at 4,582.2 points, while the broader All Ordinaries index rose 43 points, or 0.94 per cent, to 4,621.3 points.
On the Sydney Futures Exchange at 4:15pm (AEST), the September share price index contract was 49 points higher at 4,587, on a volume of 28,373 contracts.
The market opened about 0.6 per cent firmer, broadly in line with the rally on Wall Street during the offshore session, and extended its gains during the day's session.
Bell Financial Group senior adviser Chris Kimber said the local market has been growing in confidence as the US looks less likely to fall into double-dip recession.
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"As long as we keep seeing that the US is going in the same direction and not doing the double-dip, most of our industry leaders seem pretty comfortable that's not going to happen ... we'll get more and more confident (and) then we'll get to the upside," Mr Kimber said.
Market indices also reacted positively to the latest jobs figures, which showed Australia's unemployment rate was 5.1 per cent in August, beating market expectations.
In finance sector news, the competition regulator ACCC said it continued to object to the proposed tie-up between National Australia Bank (NAB) and AXA Asia Pacific.
AXA shares tumbled on the announcement and closed the day's trading 36c weaker, or 6.62 per cent, at $5.08.
NAB finished the strongest of the four major banks, up 89c, or 3.72 per cent at $24.84, while Commonwealth Bank rose 71c to $52.49, Westpac added 28c to $22.98 and ANZ was 27c higher at $23.76.
In the energy sector, Santos said it would sell 15 per cent of its $7.7 billion Gladstone liquefied natural gas (GLNG) project to the world's fourth-largest listed natural gas producer Total for $650 million.
Santos lost 96c, or 6.98 per cent, at $12.79, while among other oil and gas companies Woodside Petroleum rose 22c to $42.92 and Oil Search was 6c stronger at $5.96.
The two big miners finished the day in the black, with BHP Billiton up 27c at $38.18 and Rio Tinto gaining 46c at $73.90.
In other news, Virgin Blue's international expansion plans struck turbulence after US regulators knocked back the airline's proposed alliance with Delta Air Lines on trans-Pacific routes in a preliminary ruling.
Virgin Blue ended the day 1.5c lower at 43c.
Shoppers are choosy in shaky economyUS stocks up as debt worries ease
