Shares shrug off virus

AUSTRALIAN stocks ended Monday higher despite fears Sydney could be plunged into a second lockdown.

The benchmark S&P/ ASX200 finished the session up 58 points, or 0.98 per cent, to 5977.5, while the broader All Ordinaries index rose 53 points, or 0.9 per cent, to 6089.3.

The Australian dollaralso gained, finishing up 0.44 per cent to US69.78c.

Threats of the Victorian lockdown spilling over to NSW has prompted market researchers at ANZ to forecast a potential setback to the country’s economic recovery.

Ahead of June employment figures released by the Australian Bureau of Statistics, ANZ is expecting unemployment for the third quarter to increase to 7.7 per cent.

“We also think there will be more businesses that decide they can’t hold on,” ANZ Research said.

Financials and the material sectors both closed higher, with major banks making strong gains at the close.