The Australian share market is higher at noon as bargain hunters swoop on undervalued stocks.
OptionsXpress analyst Ben Le Brun said bargain hunters had been active since last week following falls in the Australian dollar.
“That’s flowing through today,” Mr Le Brun said.
“Bargain hunters have swooped on badly beaten up stocks.”
But he said volumes were thin because of public holidays overseas.
Resources stocks performed well following a two per cent increase in the iron ore price overnight, with Rio Tinto up 58 cents to $58.21, BHP Billiton 18 cents higher at $29.66.
Fortescue Metals shares surged 21 cents to $2.38 on speculation about Chinese investment in the iron ore miner and higher prices.
Among the banks, Commonwealth Bank rose 31 cents to $84.31, ANZ rose 18 cents to $32.50, Westpac was 47 cents higher at $33.42, while National Australia Bank was 27 cents stronger at $33.80.
Meanwhile, poker machine supplier Aristocrat Leisure’s shares were 51 cents higher at $8.38 after its first half profit jumped more than 35 per cent.
Shares in workforce provider Skilled Group were flat at $1.375 after it announced it had entered merger talks with rival Programmed.
UGL shares rose three cents to $2.34 after the company snared a $190 million joint venture contract to maintain BP’s 17 fuel terminals across Australia.
KEY FACTS
* At 1200 AEST on Monday, the benchmark S&P/ASX200 index was up 36.7 points, or 0.64 per cent, at 5,758.2 points.
* The broader All Ordinaries index was up 37 points, or 0.65 per cent, at 5,756.5 points.
* The June share price index futures contract was 38 points higher at 5,764 points, with 9,025 contracts traded.
* National turnover was 796.6 million securities worth $1.6 billion.
