The prospect of higher interest rates fattening margins at the big four banks helped keep the ASX 200 higher on Monday despite the falls from energy stocks miners and the tech sector which was down for its fourth straight session.

The ASX 200 closed 0.1% higher, up 7.2 points to 7485.2 with the big banks and consumer discretionary stocks like Coles and Woolworths all closing higher.

Shaw and Partners senior investment adviser Adam Dawes said while the market had a strong start to the day the US futures had been tempered, causing it to drop and flatten out from midday.

Dawes said gold stocks had performed well, with Newcrest up 2 per cent and Northern Star up 3.8 per cent.

“Gold is starting to become a little bit more in favour with the backdrop of inflation,” he said, adding a rise among the major banks was also likely due to the inflationary environment.

Graincorp posted the biggest gains, up more than 6 per cent, as brokers continued to upgrade the group based on its latest earnings upgrade as soft commodities boom.

In other commodities-related news, Lake Resources shares soared as much as 16 per cent after it announced an offtake agreement to sell Ford lithium for its electric vehicles.

“That’s exactly what these lithium guys need to do is get big offtake agreements because that’s going to underpin the value of their resource,” Dawes said.

Mergers and acquisitions dominated the corporate news on Monday with nickel miner IGO back on track to swallow Western Areas after it responded to a negative independent expert report to its target’s board by increasing its offer 15 per cent to $3.87 a share.

Virtus Health shares also rose after its board recommended CapVest’s scheme of arrangement, following an increase in price payable to $8.15 per share.

Hochtief, the largest shareholder of engineering group CIMIC, all but wrapped up its takeover of the ASX-listed company with its stake exceeding 92 per cent on Monday. Hochtief extended its $22 a share offer until 7pm April 26.

Consolidation of Australia’s super sector continued with AustralianSuper announcing that plans to takeover smaller industry fund LUCRF Super was progressing well, with the deal set to be finalised by June.

Meanwhile, construction industry superannuation fund Cbus said its takeover of Media Super has been completed.