Broad-based gains pushed Australian shares higher on Monday, as plans to gradually reopen the country's most populous state after a weeks-long coronavirus lockdown boosted hopes of a pick up in economic activity.

The S&P/ASX 200 index rose 1.3% to 5,461.2 points. The index marked its third straight weekly gain on Friday as Australia eases social distancing restrictions, which have taken a devastating toll on the economy and put it on course for its first recession in three decades.

Financial stocks advanced 1.2% and underpinned the rally. Three of the country's "Big Four" banks rose between 0.5% and 0.9%.

Export-oriented mining stocks gained 1.1%, with index heavyweights BHP Group and Rio Tinto firming 0.6% and 1.4%, respectively.

Gold stocks gained on the back of higher bullion prices, as the country's biggest listed gold producer Newcrest Mining advanced 0.7%.

Spot gold rose 0.25% to $1,707.30. Energy stocks were higher even as oil prices declined. Gas producer Woodside Petroleum and petrol station operator Caltex Australia rose 2.4% and 2.7%, respectively.

The number of issues on the ASX that advanced were 1,105 while 551 declined as a 2-to-1 ratio favoured advancers.

New Zealand's benchmark S&P/NZX 50 index ended 0.6% higher at 10,760.29 points, helped by gains in the financial and industrial sectors.

In the latest move to ease lockdowns, New South Wales - home to Sydney - will allow restaurants, playgrounds and outdoor pools to reopen by the end of the week after extensive testing showed a sharp slowdown in the spread of new infections.

Copyright Reuters, 2020

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