SYDNEY: Australian and New Zealand shares finished higher on Monday, as risk appetite was buoyant on encouraging results from a Covid-19 treatment trial and on hopes that the US earnings season would see most companies beat forecasts.
The S&P/ASX 200 index rose 0.98% to 5,977.5 points. The benchmark, which fell 0.61% on Friday, is off 16.9% from its lifetime high on Feb. 20.
New Zealand's benchmark S&P/NZX 50 index rose 0.4% to 11,434.79.
A late-stage study showed that US biopharmaceutical company Gilead Sciences Inc's antiviral drug remdesivir significantly reduced Covid-19 mortality rate.
The promising data "sparked a wave of peak-virus optimism in stock markets," Jeffrey Halley, senior market analyst, Asia Pacific, OANDA, said in a note.
Top gainer, the ASX 300 metals and mining index rose 1.77% led by Galaxy Resources Ltd, up 6.06%, followed by IGO Ltd, gaining 4.54?%.
Chinese iron ore futures on the Dalian Commodity Exchange rose 1.5%, on expectation of seasonal tight supplies from big miners in Australia.
Meanwhile, copper prices increased due to supply worries from top producer Chile as workers called for a potential strike at a mine.
Financial stocks rose 1.63% led by Platinum Asset Management, up 6.76%, and Virgin Money UK PLC, gaining 5.44%. Healthcare stocks shed 0.7%, weighed down by industry behemoth CSL Ltd.
In New Zealand, the top percentage gainer on the benchmark was Port of Tauranga Ltd, up 4.04%, followed by Chorus Ltd, gaining 2.83%.
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