Australian stocks are only slightly lower at noon as local investors appeared less concerned about the ongoing US government shutdown.

After a weak opening, the market recovered during morning trade, with the main indices about 0.1 per cent lower at noon.

That’s despite the US budget deadlock and looming debt ceiling negotiations hitting investor sentiment across the globe, sending Wall Street down by more than 1.0 per cent overnight.

CMC Markets chief market analyst Ric Spooner said it was a difficult dilemma for investors, who were balancing the high likelihood that the US deadlock would be resolved against the risk of it not being solved, which would have significant economic consequences.

“You don’t want to take too much defensive action because there are costs to that as well,” he told AAP.

“If the market collectively sells down too far here and everything is fixed next week you are going to lose out.”

In local news, the Westpac/Melbourne Institute index of consumer sentiment in October fell 2.1 per cent to 108.3 points, which was still regarded as a good reading as it showed most of those surveyed are confident about the Australian economy.

Most sectors of the market were mixed.

In resources, BHP Billiton was half a cent higher at $34.705, while Rio Tinto had lost 35.5 cents to $59.895.

Gold miner Newcrest had dropped four cents to $10.79 after announcing the departures of its chairman and chief executive, following this year’s disastrous writedowns.

The big four banks were also mixed, with ANZ down six cents at $30.38, National Australia Bank down 4.5 cents to $34.145, Commonwealth Bank off one cent at $71.09 but Westpac up 27.5 cents at $32.255.

KEY FACTS

* At 1235 AEDT on Wednesday, the benchmark S&P/ASX200 index was down 4.1 points, or 0.08 per cent, at 5,145.3.

* The broader All Ordinaries index was down 4.9 points, or 0.1 per cent, at 5,143.2.

* The December share price index futures contract was down six points at 5,136, with 11,426 contracts traded.

* National turnover was 568.4 million securities worth $1.2 billion.