Better investor sentiment ensured that the Australian stock market remained high and closed at higher level today. It also increased the price of Australian dollar and it reached US88.35 cents during the later part of the day. This is the highest level it has reached since mid May.

Economic experts point that realignment in the rates of the Chinese currency will significantly make Australian exports less expensive and more attractive for Australian exporters. It is pointed that almost 80% of Australian exports are consumed by the Chinese economy.

Telstra shares also increased by 3.41% to reach $3.34 after investor demand increased in the share. Telstra also confirmed that it had signed an $11 billion deal with NBN and the Australian Government.

The increase in share price also added $1.5 billion to its market capitalization and now the Company is valued at $41.6bn.

In the overall market, the benchmark S&P/ASX 200 index gained by 60.7% or 1.33% and it reached 4612.6 points. The other All Ordinaries index increased by 58.6 points to gain 1.28% to reach 4632.7 points.

It is expected that the U.S. markets will also remain bullish today. It will also help increase the confidence of the investors and the overall sentiment in the market.   

Share prices of BHP Billiton increased by 78 cents to reach $39.91 while Rio Tinto also increased by $1.49 to reach $72.34.