The Australian share market has closed higher, with banks underpinning the broader market for a second straight session.

At the close on Wednesday, the benchmark S&P/ASX200 index was 41.3 points, or 0.78 per cent, higher at 5,334.1, while the broader All Ordinaries index was up 37.7 points, or 0.71 per cent, at 5,334.5, according to preliminary figures.

On the ASX 24, the December share price index futures contract was 43 points higher at 5,326, with 35,900 contracts traded.