* Market boosted by bigger-than-expected trade surplus
* Financials lead gains (Updates to close)
March 8 (Reuters) - Australian shares rose on Thursday,buoyed by positive sentiment after January's trade surplushandsomely topped expectations.
The S&P/ASX 200 index .AXJO rose 0.69 percent, or 40.9points, to 5,942.9 by the end of trade. The benchmark dropped 1percent in the previous session.
Australia posted a seasonally adjusted trade surplus ofA$1.06 billion ($828.6 million) in January, beating a Reutersforecast of A$300 million, and in sharp contrast to December'sA$1.36 billion deficit. stocks .AXFJ spearheaded gains, ending 0.78percent higher, with the 'Big Four' banks rising from 0.5percent to 1.4 percent.
Commonwealth Bank of Australia CBA.AX was the biggestboost on the benchmark, ending up by 1.4 percent.
Biotherapeutics developer CSL CSL.AX ended 1.3 percenthigher and online job portal Seek Ltd SEK.AX climbed about 3percent.
Materials stocks were the only losers on S&P/ASX 200 .AXJO , with the metals and mining index .AXMM falling by 0.6percent after the United States said it would slap heavy tariffson imported steel and aluminium. rebar steel futures fell for a fifth session onThursday to touch their lowest in almost two weeks. ShanghaiFutures Exchange SRBcv1 rebar futures were down 1.7 percent at3,873 yuan ($612) a tonne by 0227 GMT ore prices on the Dalian Commodity Exchange DCIOcv1 fell as far as 510.50 yuan per tonne, the lowest since Feb. 2 heavyweight BHP Billiton (LON:BLT) BHP.AX was the biggestdrag on the benchmark, falling for a second consecutive sessionand ending 2.04 percent lower.
South32 Ltd S32.AX followed, ending 1.57 percent lower.
Across the Tasman Sea, New Zealand's benchmark S&P/NZX 50index .NZ50 rose 0.9 percent or 74.36 points to finish thesession at 8,358.70.
Consumer staples led the gains with a2 Milk Company Ltd ATM.NZ ending nearly 5 percent higher.
Telecommunications operator Spark New Zealand Ltd SPK.NZ ended 1.62 percent higher.