A year ago, many were wondering whether share markets had gone bonkers as they pushed higher despite lots of bad news. To be sure there were big negatives over the last 12 months:

The global and Australian economies were confirmed to have seen deep recessions in first half 2020.
There have been several waves of coronavirus globally, propelled over the last six months by new and more virulent strains. This in turn drove numerous returns to lockdowns.
Budget deficits and public debt relative to GDP blew out in many countries to levels not seen since the end of WW2.
The US saw a divisive election that turned violent with an invasion of the Capitol by Trump supporters.
Tensions between Australia and other Western democracies with China have increased with more talk of a cold war.
Bond yields rose sharply early this year on inflation fears & talk of an early exit from easy money, notably by the Fed.

The election of Joe Biden in the US has reduced global policy uncertainty and led to much more US fiscal stimulus.
Australian fiscal stimulus continued, dulling any “fiscal cliff”.