Aust share market one per cent higher

The Australian share market has opened almost one per cent higher as investors snapped up resources stocks following commodity price rises and gains on Wall Street.

At 1010 AEST on Monday, the benchmark S&P/ASX200 index was up 36.5 points, or 0.89 per cent, at 4,118.7, while the broader All Ordinaries index was up 36.1 points, or 0.88 per cent, at 4,154.4.

On the ASX 24, the September share price index futures contract was up 33 points at 4,082, with 6,699 contracts traded.

Cameron Securities client adviser Adrian Leppinus said the local markets took its cues from the United States.

"Our market is following the lead from overseas and the big move in the commodities side of things," Mr Leppinus said.

In local news, Billionaire coal magnate Nathan Tinkler has made a formal bid for Whitehaven Coal in which he hopes to take the miner under his private control.

Whitehaven shares are due to resume trading at 1100 AEST.

Mr Leppinus said the bid appeared to be reasonable.

"Resource stocks are generally leading us this morning and a bit of corporate activity always helps a sector that's been under pressure."

He expects the positive momentum to continue in afternoon trade.

Base metals moved higher in tandem with broader financial markets and the euro, boosted by hopes of a Chinese economic stimulus and well-received quarterly earnings in the banking sector.

US stocks broke a six-day losing streak Friday.

At the close the Dow Jones Industrial Average was up 203.82 points (1.62 per cent) to 12,777.09.

Local resources stocks were all higher, with BHP Billiton shares gaining 51 cents to $30.99 and Rio Tinto shares $1.08 higher at $55.16.

At 1017 Newcrest shares were three per cent higher at $21.77.

Seven West Media shares were flat at $1.62 after it announced $440 capital raising to reduce its debt.

The Sydney gold price was $US1591.17, up $US17.44 from $US1573.73 on Friday.

At 1035 National turnover was 185 million securities worth $344 million, with 407 stocks up, 134 down and 220 unchanged.

• Find a personal loan
• Find a credit card
• Find a home loan
• Find a savings account