The share market is in positive territory as local investors buy back into the big four banks following a sell-off by international investors earlier in the week.
The market has been hit by a wave of international selling as the value of the Australian dollar dipped below 90 US cents, OptionsXpress market analyst Ben Le Brun said.
“Those offshore participants are out of the market,” he said.
“So it’s really going to be a case of the domestic fund managers and institutions picking up the slack in the banking sector, and I think that’s what we’ve seen over the last couple of days.”
ANZ was up 41 cents at $31.83, National Australia Bank had added 57 cents to $33.78, Commonwealth Bank was up 13 cents at $77.71 and Westpac was 14 cents higher at $33.19.
While still in positive territory at noon, the market had given back some of the early gains made in the wake of a record close on Wall Street overnight, Mr Le Brun said.
But there were signs of a relief rally as investors priced in the potential upside of a no vote in the Scottish independence referendum, he said.
The resources sector remained out of favour with investors, given the strengthening US dollar and the tumbling iron ore price.
BHP Billiton was down 14 cents at $35.54, Rio Tinto had dropped 50 cents to $61.48 and Fortescue Metals was 11 cents weaker at $3.82.
KEY FACTS
* At 1208 AEST, the benchmark S&P/ASX200 index was up 16.6 points, or 0.31 per cent, at 5,432.4 points.
* The broader All Ordinaries index was up 16.6 points, or 0.3 per cent, at 5,435.6 points.
* The December share price index futures contract was up 24 points at 5,426 points, with 15,592 contracts traded.
* National turnover was 638 million securities worth $1.4 billion.