Index Update: The Australian sharemarket closed higher on Monday, with the S&P/ASX 200 rising 41.60 points, or 0.48%, to finish at 8,759.40. The benchmark index has now gained 0.35% over the past five trading sessions but remains about 3.90% below its 52-week high. Market breadth was positive, with nine of the 11 sectors ending the day in the green. Sector performance was led by Consumer Discretionary, which climbed 2.12% on the day and has advanced 3.01% over the past week, reflecting renewed risk appetite. Consumer Staples (+1.12%), Energy (+0.86%) and Industrials (+0.82%) also posted notable gains. Utilities was the notable laggard, sliding 1.81%, making it the weakest-performing sector on the session.

Macro Update: Household spending in Australia rose 1.0% in November, seasonally adjusted figures from the ABS show, following gains of 1.4% in October and 0.4% in September, leaving spending 6.3% higher than a year ago. Services spending climbed 1.2%, supported by major events, while goods spending lifted 0.9% on Black Friday discounts.

Meanwhile, U.S. Treasury Secretary Scott Bessent said additional U.S. sanctions on Venezuela could be lifted as soon as next week to facilitate oil sales. He plans meetings with the IMF and World Bank to discuss re-engagement with Venezuela and noted nearly USD 5 billion in frozen IMF Special Drawing Rights assets could be deployed to aid economic rebuilding.

Top Market Movers: On the S&P/ASX 200, Light & Wonder Inc. (ASX:LNW) surged 17.97% to AUD 182.50 after gaining AUD 27.80, leading the market higher. Catapult Sports Ltd (ASX:CAT) rose 6.52% to AUD 4.41, while Ramelius Resources (ASX:RMS) added 6.30% to AUD 4.39. On the downside, Mesoblast (ASX:MSB) fell 7.17%, Super Retail Group (ASX:SUL) dropped 5.28%, and DroneShield (ASX:DRO) declined 4.23%.

Commodity Update: The U.S. dollar eased from its strongest level in one month on Monday after U.S. prosecutors opened a criminal investigation into Federal Reserve Chair Jerome Powell, intensifying tensions with the Trump administration. Gold rose 2.00 % to USD 4,590.96, silver surged 4.93 % to USD 83.26, and copper climbed 0.97 % to USD 13,106.35. Brent crude was slightly down 0.01 % at USD 63.29 amid Iran supply concerns.

Our Stance: Australian shares ended higher, led by a rebound in Consumer Discretionary, reflecting improving risk appetite as domestic demand remains resilient. The S&P/ASX 200’s steady advance aligns with macro signals, particularly household spending, which rose 1.0% in November and is now 6.3% higher year on year, underpinned by services activity and promotional-driven goods demand. Stock-specific moves highlighted selective optimism, with notable gains in Light & Wonder and Catapult offset by weakness in healthcare and retail names. Globally, softer U.S. dollar conditions and rising precious metals suggest lingering uncertainty, while potential easing of Venezuela sanctions could reshape energy supply dynamics. Overall, the market tone remains constructive but selective.

In the latest session, the S&P/ASX 200 Index advanced 41.60 points to close at 8,759.40, forming a modest bullish candlestick backed by strong trading volumes, reflecting continued investor confidence. On the daily chart, the index remains above its 21-period SMA, which is acting as a key dynamic support and sustaining the short-term uptrend. The support zone around 8,670 is crucial to maintaining the current bullish structure, with a successful hold likely to support consolidation and further upside. On the weekly chart, prices continue to trade well above the 50-period SMA, reinforcing a positive medium- to long-term technical outlook.