THE share market opened 2 per cent stronger today after Wall St bounced on a drop in the oil price and positive consumer confidence data.
Merrill Lynch's move to dump billions of dollars of mortgage debt and raise $US8.5 billion ($8.9 billion) in new capital boosted hopes the financial sector was moving on from posting big losses from the housing slump.
At 10.15am (AEST) the benchmark S&P/ASX200 index had surged 107.5 points, or 2.19 per cent, to 4953.7, while the broader All Ordinaries leapt 96.2 points, or 1.95 per cent, to 5019.5.
The September share price index futures contract added 104 points to 4930 on volume of 6048 contracts.
The banks were back in favour with ANZ lifting 52 cents, or 3.35 per cent, to $16.04 and National Australia Bank up 99 cents, or 4.12 per cent, to $25.80. Commonwealth Bank of Australia jumped $1.34, or 3.41 per cent to $40.64, Westpac firmed 74 cents, or 3.56 per cent, to $20.93 and takeover target St George Bank climbed 94 cents, or 3.75 per cent, to $26.64.
On Wall St, the Dow Jones Industrial Average lifted 266.48 points, or 2.39 per cent, to 11,398.
