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SYDNEY - The Australian stock market closed at a record high yesterday, largely on the back of an excellent show by resource stocks and a strong banking sector.
The stellar performance in resources came as analysts upgraded the outlook for commodity prices.
At the close, the benchmark S&P/ASX200 index was up 49.5 points to 6400.6, while the all ordinaries rose 46.5 points to 6429.5
On the Sydney Futures Exchange, the September share price index contract was 57 points higher at 6421 on a volume of 13,587 contracts.
Austock Securities senior client adviser, Michael Heffernan, said the growth in BHP Billiton, Australia's biggest company, was astounding.
"BHP has been astronomic, rising four or five dollars in the last month, it's just explosive and it's making up for a lacklustre prior year," Heffernan said.
Heffernan said the resources sector had dragged up the rest of the bourse, though some sectors were lower because of the possibility of an interest rate rise.
"There are only three sectors showing a drop; consumer discretionary, property trusts and utilities, and they weren't even down by much, it's just the spectre of interest rates affecting those stocks," he said.
At the close, BHP Billiton was up A$1.29 or 3.44 per cent to A$38.83 and Rio Tinto had gained A$1.35 or 1.32 per cent to A$103.40.
Zinifex soared A$1.10, or 5.44 per cent, to A$21.32 and Oxiana rose 11c or 2.94 per cent to A$3.85, amid speculation they may merge to ward off foreign predators.
The soaring oil price helped Santos climb 37c, or 2.7 per cent, to A$14.08, while Woodside Petroleum rose 14c to A$47.14. Newcrest Mining gained 5c to A$23.14 and Newmont Mining was up 15c or 3.14 per cent to A$4.92.
The banks were solid, though NAB slipped 4c to A$40.10. Westpac gained 15c to A$26.55, Commonwealth was up 78c to A$56.06 and ANZ rose 9c to A$29.48.
In the media sector, PBL edged up 1c to A$19.31, Fairfax was steady at A$4.91, News Corp shed 4c to A$27.24 and its non-voting scrip was down 13c to A$25.14.
Telstra was steady at A$4.62 and its instalment receipts were up 2c to A$3.15. Rival Singapore Telecommunications, owner of Optus, lost 2c to A$2.63.
In the transport sector the looming low-price fare war between Tiger and Qantas took some skin off the Flying Kangaroo's share price, which was down 1c to A$5.58.
Virgin Blue was steady at A$2.41 while freight giant Toll tumbled 25c to A$14.75.
Coles Group was up 3c to A$15.13, and its suitor, diversified conglomerate Wesfarmers gained 30c to close at A$41.35. Rival Woolworths rose 55c to A$29.05.
Republic Gold was the most traded stock, with 52.41 million shares valued at A$1.3 million changing hands.
Total market turnover was 1.55 billion trades at a value of A$5.42 billion, with 639 stocks up, 669 down and 319 unchanged.
- AAP