Investors are expected to pile back into the Australian sharemarket on Monday following the strongest rally on Wall Street since the US presidential election as traders stepped back into battered stocks.

Futures trading on Friday suggested the S&P/ASX 200 Index was set to jump more than 80 points on Monday morning, or 1.1 per cent, to 7867, after weeks of relentless selling pushed the bourse down more than 10 per cent from its recent peak into a technical correction.