The S&P/ASX 200 climbed 1.1% to above 8,540 in early Thursday trade, moving away from over five-month lows, supported by a strong lead from Wall Street.
The rally was driven by chip giant Nvidia’s blowout earnings that lifted confidence in the artificial intelligence trade.
Local technology stocks led the advance, jumping over 5%, its largest increase since early April.
Sector leader Wisetech Global surged 4.2%, while Xero and Technology One soared 4.9% and 6.6%, respectively.
Financials added support, rising 0.9% likely on dip buying after hitting a six-month low in the prior session.
Australia’s banking regulator warned major banks against weakening mortgage standards, even as its review found lenders and super funds resilient to a year-long financial shock.
Gold miners and the broader mining sub-index also increased amid steady underlying commodity prices.
Conversely, energy firms dropped on lower oil prices, led by Origin Energy, down 3.2%, while Santos around 1%.