Telstra shares surge in Australia on broker upgrade

Shares in the nation's biggest telephone company Telstra reached their best level in nearly seven weeks, topping at A$4.80, before finishing at A$4.79, up 1.7 per cent.

Citigroup has upgraded Telstra to a buy from hold, expecting the dominant telco to undertake a more aggressive capital management programme including more share buybacks and a special dividend.