Australia shares rally as merger hopes abound

  MELBOURNE, Dec 22 (Reuters) - Australian stocks gained 1.5 percent on Tuesday, boosted by banks and miners, as investors looked ahead to the prospect of more merger activity buoying the market in the new year. In the latest rush of pre-Christmas deals, Nufarm Ltd NUF.AX put its shares on a trading halt after China's Sinochem cut its offer for the firm [ID:nSGE5BK0IV] and Macarthur Coal Ltd MCC.AX and Gloucester Coal Ltd GCL.AX also went on halts amid bid reports [ID:nSGE5BL013].  

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