The Australian share market has broken a three-day losing streak led by technology stocks, as Democrats rallied behind Vice President Kamala Harris and cemented her as the favourite to secure nomination in the US election.
The benchmark S&P/ASX200 index on Tuesday unwound the previous day's losses to finish up 39.4 points, or 0.5 per cent, to 7,971.1 points, while the broader All Ordinaries climbed 42.2 points, or 0.5 per cent, to 8,208.6 points.
The political drama unfolding in the US remained a focus, though growing Democratic support for the vice president kept uncertainty in check. Prediction markets are still putting former president Donald Trump ahead to win the election.
Predict It was giving Trump 60 per cent implied odds of victory, compared to Harris' 42 per cent chances.
Locally, consumer sentiment shot up to a six-month high as households reported more confidence in their finances, likely stemming from stage three tax cuts and cost-of-living measures starting at the beginning of the new financial year.
Australian equities had been caught up in a sell-off on Wall Street last week, City Index senior market analyst Matt Simpson said, yet a more stable political climate was supporting stock markets and helped the ASX hold its ground on Tuesday.
He expected choppy trade in the lead up to US June quarter gross domestic product data and the personal consumption expenditures price index later in the week.
Strong tech earnings out of the US could support the domestic sector, yet he said there was "too much going on in the background" for the local bourse to reach record highs.
At the close, nine of the ASX's 11 sectors were higher, with tech posting the biggest gain of 1.6 per cent.
Energy stocks were down 2 per cent and materials fell 0.4 per cent.
Woodside extended losses for a third day, falling another 3.7 per cent to $27.53 and a four-week low after the nation's biggest oil and gas producer undershot analyst forecasts for second-quarter production volumes.
BHP finished lower, down 0.4 per cent, to $41.46, Fortescue fell 1.4 per cent to $21.21, and Rio Tinto sunk 0.6 per cent to $113.81.
All of the big four banks were higher, with ANZ up 0.75 per cent to $29.71, NAB rising 1.19 per cent to $37.36, Westpac lifting 0.9 per cent to $28.32, and CBA gaining 1.1 per cent to $133.14.
Spartan shares had soared 23.5 per cent to a five-year high of $1.23, after updating its mineral resource estimate at the Dalgaranga Gold project in Western Australia.
Shares in burns treatment developer Polynova finished up 7.9 per cent to $2.60, amid growing demand for the product in conflict zones and developing countries.
The Australian dollar closed lower for its seventh consecutive day, buying 66.26 US cents, from 66.64 US cents in Monday's ASX close, following China's surprise rate cut.
ON THE ASX: * The benchmark S&P/ASX200 index on Tuesday rose 39.4 points, or 0.5 per cent, to 7,971.1. * The broader All Ordinaries gained 42.2 points, or 0.5 per cent, to 8,208.6 CURRENCY SNAPSHOT: One Australian dollar buys: * 66.26 US cents, from 66.64 US cents at Monday's ASX close * 103.76 Japanese yen, from 104.62 Japanese yen * 60.88 euro cents, from 61.21 euro cents * 51.29 British pence, from 51.59 pence * 111.10 NZ cents, from 111.17 NZ cents.
