Investors are likely to see early gains on the Australian share market after a surprisingly upbeat US jobs report drove recovery hopes on Wall Street.

The local SPI 200 futures contract was higher by 41 points, or 0.67 per cent, to 6,138.0 at 0800 AEST on Tuesday, indicating gains in share values early.

Overnight, the Nasdaq closed at a record high, becoming the first of the major US indexes to confirm a new bull market, while the Dow and S&P 500 also jumped on expectations for a swift recovery from a coronavirus-driven downturn.

A closely-watched monthly jobs report on Friday showed an unexpected fall in the unemployment rate, bolstering views that the worst of the economic damage from the virus outbreak was over.

The Dow Jones Industrial Average rose 1.7 per cent, to 27,572.44, the S&P 500 gained 1.20 per cent, to 3,232.39 and the Nasdaq Composite added 1.13 per cent, to 9,924.75.

Meanwhile, the Australian dollar touched its highest level since July last year after hitting 70 US cents late on Friday.

It was still buying 70.16 US cents at 0800 AEST, up from Friday’s close of 70.02 US cents.