S&P/ASX200 index: ASX adds 0.7pc as tech shares lead market higher

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Technology companies and winners from the federal budget help blue chips erase all losses for the year.

Australian shares gained ground on Wednesday in a session that favoured tech shares and a handful of winners from the&P All Ordinaries rose 53 points higher to 7799.9 points for an advance of the same margin.

Eagers Automotive, a car dealer, added 2.9 per cent to $14.50, while car parts companies GUD Holdings advanced 2.2 per cent to $11.68, and Bapcor added 1.4 per cent to $6.55. Investors bidding up tech shares were also beginning to favour profitable companies at the expense of businesses unable to show real earnings, he added.

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