Aussie stocks rally for Santa

Aussie stocks have staged a strong gain on Thursday to keep the "Santa rally" going as the bulls eye a bigger christmas present.

On Thursday the benchmark S&P/ASX 200 index was up 30.40 points, or 0.54 percent at 5,643.90 points, while the broader All Ordinaries index was up 29.80 points, or 0.53 percent at 5,691.80 points.

Aussie stocks were the out performer in the region with impetus for defensive stocks: real estate, utilities and consumer staples continuing, helping the overall index.

"It's but been consistent buying of defensive or yield sectors... which is supporting the ASX," CMC Markets chief market analyst Ric Spooner told Xinhua.

Traders are conscious of the year-end rally, the fourth consecutive strong year-end gain, though the support is entirely domestic with Asian markets weaker, Spooner said.

The market has risen just under 2 percent since Friday's close, with prospects of a the benchmark hitting 5700 points, even as high as 5750 points in the early new year a "real possibility with Iimpetus still going", Spooner said.

But there is also the chance of a pull back given the high base the rally has come off, given the benchmark has risen 12 percent since the election of Donald Trump to the U.S. Presidency.

"Valuations are not at this supported by the markets in the U.S. or elsewhere," Spooner said.

On Thursday ANZ rallied 1.25 percent, the Commonwealth Bank of Australia gained 0.66 percent, the National Australia Bank rose 0.62 percent and Westpac was up 0.58 percent.

BHP Billiton slipped 0.12 percent, however rival Rio Tinto edged 0.13 percent higher while gold miner Newcrest was 1.18 percent stronger.

Santos slumped 1.51 percent, but Oil Search gained 0.73 percent and Woodside Petroleum lifted 1.13 percent.

Wesfarmers gained 0.83 percent while rival Woolworths surged 1.61 percent.

Qantas edged 0.15 percent higher while telecom giant Telstra added 0.70 percent. Endit