Australian stocks are on a tear

Joshua Beaver celebrates coming second and qualifying for Rio in the Men’s 200 Metre Backstroke at the Australian Swimming Championships in Adelaide. Quinn Rooney/Getty Images

The Australian market rallied on the back of stronger resources stocks.

The ASX 200 broke through the 5000-point barrier. At the close, the index was at 5,054.70, up 79.05 points or 1.59%.

Wall Street rose overnight as energy stocks jumped on reports of an oil production freeze. The S&P 500 closed 1.0% higher.

On the local market, the miners led the surge, following a rise in oil and iron ore prices overnight.

BHP closed 6% higher at $17.92, Rio Tinto 4.5% to $47.38 and Woodside Petroleum almost 3% to $25.82.

Alas Iron added more than 13% to $0.025 and Fortescue Metals 7.7% to $3.19.

The major banks all gained ground with Westpac up 2.78% to $29.94.