The benchmark S&P/ASX 200 index posted its strongest session in nearly two weeks on Tuesday after Trump said he had shelved plans for a “scheduled attack of Iran tomorrow”.
The broader All Ordinaries index also finished more than 1% higher as investors welcomed signs tensions in the Middle East may not escalate further in the near term.
Trump said the decision followed appeals from the leaders of Qatar, Saudi Arabia and the United Arab Emirates.
The Australian dollar was trading at 71.35 US cents, up from 71.27 US cents at 5pm on Monday.
