The All Ordinaries Index closed out Monday's shortened session at 6,241 points, with the ASX 200 down 0.1 at 6,3340.

Traders took some heart in the fact that, overall, the Australian market rose 11.8 percent for the year despite the U.S. sub-prime mortgage crisis wiping more than 20 percent off the major market indicators in the last two months of the year.

The major mining companies ended weaker, dragged down by profit taking in Fortescue metals, which dropped 11.45 percent after a massive gain last week to close at $6.61.

BHP Billiton (NYSE:BHP) dropped 32 cents to $35.39 and Riot Tinto dipped 4 cents to $118.12.

Gold stocks ended higher, buoyed by $14.50 jump in the price of spot gold to $841.40 an ounce.

The energy sector ended mixed, with Woodside Petroleum 3 cents lower at $44.43 and Santos up 6 cents to $12.44.

Bank share and retailers also ended mixed while the Australian dollar climbed to 88.05 U.S. cents on expectation of an interest rate rise early in 2008.