The Australian share market closed slightly up on Wednesday, ending a disastrous year in which the global financial crisis slashed 41.3 percent from its value.
The benchmark S&P/ASX200 closed the day up 1.9 percent on 3,722.3, an advance of 68.1 points, while the All Ordinaries gained 67.9 points to end the final session of the year at 3,659.3.
"It was certainly a year everyone would rather forget, with the S&P/ASX200 index losing 2,617.5 points," said IG Markets analyst Ben Potter.
Global financial chaos wiped almost 600 billion dollars (415 billion US) from the Australian market in 2008.
Strong leads from Wall Street and rallying energy and resources stocks led the benchmark S&P200 index to an intra-day peak of 3,729.8, its highest level in four weeks, on the final day of trade for 2008.
Volumes were light during the shortened New Year session -- a provisional 609.41 million shares changing hands worth 1.32 billion Australian dollars.
Washington's latest lifeline to the car industry boosted investor confidence in the United States, buoying local markets, Potter said.
Energy and mining stocks drove the day's gains, despite a three percent slide overnight in the price of oil.
Woodside Petroleum rose 2.1 percent to 36.70, Santos added 4.72 percent to 14.87 and Origin Energy gained 1.64 percent to 16.12.
Strength in base metals pushed Fortescue Metals Group up 3.2 percent to 1.93.
Rio Tinto grew 2.7 percent to 38 dollars, while rival BHP Billiton picked up 2.6 percent to 30.44.
Lihir Gold slipped 0.3 percent to 3.01, after speculation the recent rally was overbought.
Investors also responded positively to news from Qantas that it was dropping its domestic fuel surcharge.
Shares in the airline closed up 4.37 percent at 2.63.
The banks were higher, with Commonwealth adding 2.12 percent to 28.90, Westpac ahead 2.04 percent at 16.97 and ANZ Banking Group inching forward 0.26 percent to 15.29.
Retailers bounced in response to strong post-Christmas sales, electronics retailer Harvey Norman was up 4.33 percent to 2.65 and surf fashion brand Billabong added 2.48 percent to 7.85.
The markets will resume trade on Friday, after a one-day New Year holiday.
