Australian shares rally for best week of the year

Every sector of the ASX finished in the green on Friday, with the energy sector the biggest gainer. (Bianca De Marchi/AAP PHOTOS)

The local share market has finished a good week with a strong rally, climbing after solid US economic data dispelled fears the world's largest economy was slipping into recession.

The benchmark S&P/ASX200 index finished Friday up 105.6 points, or 1.34 per cent, to 7,971.1, while the broader All Ordinaries gained 106.1 points, or 1.31 per cent, to 8,189.9.