Australian shares rose on Monday, led by miners as iron ore prices firmed, while last week’s US jobs report showing a slowdown in wage growth eased investor worries about inflation outlook and the Federal Reserve’s monetary policy stance.

The ASX 200 gained 69 points or 1 per cent, to 7,179 at 11:30am AEDT. The benchmark ended 0.7 per cent higher on Friday.

Data showed on Friday that the US economy added jobs at a solid clip in December, pushing the unemployment rate back to a pre-pandemic low of 3.5 per cent as the labour market stayed tight, although average hourly earnings rose 4.6 per cent in December from a year earlier, down from 4.8 per cent in November.

Local miners jumped 1.5 per cent as iron ore prices inched higher on optimism around China’s stepped-up policy support for its ailing domestic property sector.

Heavyweights BHP and Rio Tinto jumped 1.8 per cent and 0.3 per cent, respectively.

Fortescue said that Ian Wells will step down as chief financial officer. Shares were down 0.5 per cent.

Essential Metals jumped 37.7 per cent, eyeing its best day since October 2021, after receiving a buyout bid from Tianqi Lithium Energy Australia, a joint venture between IGO and Tianqi Lithium Corp. IGO gained 2.3 per cent.

Gold stocks gained 1.7 per cent, as US Treasury yields and the US dollar fell.

Newcrest Mining and Northern Star Resources jumped 2 per cent and 1.3 per cent, respectively.

Energy stocks jumped 1.3 per cent even as oil prices fell.

Sector majors Santos and Woodside Energy advanced 1.2 per cent and 1 per cent, respectively.

Financials gained 0.6 per cent with the big four banks jumping between 0.4 per cent and 1.1 per cent.