Australia Stocks gain on hopes for vaccines

The Australian share market finished higher for seventh straight session on Wednesday, 09 December 2020, as buying sentiment was strengthened by Wall Street records closing overnight on coronavirus vaccine progress.

At closing bell, the benchmark S&P/ASX200 inclined 40.74 points, or 0.61%, to 6,728.47. The broader All Ordinaries added 43.22 points, or 0.62%, to 6,965.40.

Investors were in an upbeat mood as Britain on Tuesday became the first Western nation to begin a wide vaccination campaign, and Johnson & Johnson reported it could obtain late-stage trial results for a single-dose vaccine in January, earlier than expected.

Australia's Victoria state eased COVID-19 restrictions after the country's pandemic hot spot recorded 37 days without any new coronavirus infections, moving toward a "COVID-safe" holiday season. From midnight on Sunday, up to 100 people will be able to attend such public gatherings as weddings, with density rules of one person per 2 sq. meters staying in place, while 50% of office workers will be able to return to workplaces by Jan. 11, up from 25% now, the state's premier said.

Fortescue Metals Group Ltd hit an all-time peak after the miner said it saw strong iron ore consumption next year on solid Chinese steel demand as well as a post-COVID-19 recovery in other markets.

Healius (HLS) finished 7.4% higher after announcing a $200m on-market buy-back of its shares over the next 12 months.

Adairs (ADH) rose by 4.8%. The bedding retailer on Tuesday said that sales jumped by 17% over the past 23 weeks and expects a significant lift in earnings.

CURRENCY NEWS: The Aussie dollar rose to US$0.744, lifting for a sixth straight week and is sitting at a mid-2018 high. Market optimism, the distribution of vaccines, recovering economies and firmer commodity price have helped keep the local currency well supported.

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