Australian shares rose on Wednesday's close, despite a decline in the US market, surrounded by optimism for the year ahead.

The S&P/ASX 200 rose 0.5% or 42.1 points to close at 8,201.2.

Despite a year of gains, Wall Street markets closed lower on Tuesday ending a low-volume session, Reuters reported.

However, the artificial intelligence boom, combined with potential Fed interest rate cuts and a strong US economy, may set the stage for continued gains heading into 2025, Reuters added.

In corporate news, Lendlease Group (ASX:LLC) signed a binding agreement to sell its UK construction business to Atlas Holdings for 35 million pounds sterling in cash, signaling its exit from its international construction operations.

Rio Tinto Group (ASX:RIO) confirmed that a crew member, Gel Aguaviva, went missing on Dec. 26 while aboard its bulk carrier, RTM Zheng He.

Lastly, SSR Mining (ASX:SSR) achieved total production of 5 million ounces of gold at the Marigold mine in Nevada. Shares of the mining firm rose nearly 3% at market close.