SYDNEY/WELLINGTON, July 12 (Reuters) - Australian shares rose for a fourth straight session on Tuesday as investors cheered the end of political roadblocks in Britain and at home, while New Zealand stocks nudged further into record territory.
Britain's ruling Conservative Party elected Theresa May prime minister, filling a leadership vacuum created by David Cameron last month when he resigned after the surprise vote to leave the European Union. Prime Minister Malcolm Turnbull meanwhile held on to power at the weekend when election counters determined he won a knife-edge election after more than a week of counting.
The S&P/ASX 200 index .AXJO was up 47.4 points, or 0.9 percent, at 5,384.5 by 0225 GMT. Helped along by upbeat U.S. jobs data on Friday, the benchmark is up nearly 5 percent in four days. does seem to be a bit of relief with Theresa May stepping forward in the U.K. and it looking like the Coalition will be able to elect Malcolm Turnbull prime minister very soon," said CMC Markets chief strategist Michael McCarthy.
"That, against the backdrop of much improved U.S. data on Friday night, is giving investors cause to cheer."
Banks, which have been vulnerable to global economic headwinds, led the market higher, with Westpac Banking Corp WBC.AX up 2 percent, Commonwealth Bank of Australia CBA.AX up 1.2 percent, Australia and New Zealand Banking Group ANZ.AX up 1.8 percent and National Australia Bank NAB.AX 1.5 percent higher.
Resources stocks also rose after prices of some key commodities such as iron ore gained ground. BHP Billiton (LON:BLT) BHP.AX gained 2 percent, while its spin-off South32 S32.AX jumped 4 percent. Iron ore major Fortescue Metals Group FMG.AX gained 2.3 percent and BHP rival Rio Tinto (LON:RIO) RIO.AX was up 0.6 percent.
Retailers edged higher. Wesfarmers WES.AX , which owns No. 2 supermarket chain Coles, was up 0.6 percent while larger rival Woolworths WOW.AX crept up 0.1 percent. Metcash MTS.AX , another supermarket company, was up 0.9 percent.
New Zealand's benchmark S&P/NZX 50 index .NZ50 inched up for a second day, rising 18.0 points, or 0.3 percent, to 7,080.44 - a record intraday level.
The subsidiaries of Australian banks posted strong gains, recovering from falls the previous week after S&P's ratings downgraded Australia'a debt outlook. ANZ ANZ.NZ rose 1.82 percent and Westpac WBC.NZ was up 1.32 percent.
Fletcher Building FBU.NZ was up 1.14 percent while Sky City rose SKT.NZ 2.19 percent.
Telecommunications infrastructure provider Chorus CNU.NZ rose 0.7 percent as the government sought views on telecommunications regulations favoured by Chorus.
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