News of a slowdown in Chinese industrial production is pulling the share market lower, despite mining stocks recovering some losses as the Australian dollar falls.

Investors are turning to mining stocks despite continued weakness in iron ore prices, as a lower Aussie dollar gives companies with offshore currency exposure an advantage, CommSec market analyst Juliana Roadley said.

“When the market opened all the sectors were in the red. What we are seeing now is money going back into the mining stocks because the Aussie dollar has fallen,” she said.

“People are really looking for where they’re going to get an advantage because of the lower Australian dollar.”

The local currency hit a fresh six-month low on Monday morning, and is nearing 90 US cents after data showed Chinese industrial production slowed to its lowest level since the global financial crisis.

The data release from China on Saturday was well below economist expectations.

BHP Billiton was up 13 cents at $35.92, Fortescue Metals was up 6.5 cents at $4.00, while Rio Tinto was down 10.5 cents at $61.785.

Many smaller miners were also in positive territory, including OZ Minerals, up 3.5 cents at $4.145.

All other sectors of the market were lower, however.

Among the banks, National Australia Bank was down 22.5 cents at $34.03, Westpac had shed 33.5 cents at $33.915, ANZ was down 26 cents at $32.57 and Commonwealth Bank was 60 cents weaker at $79.63.

Macquarie Group bucked the trend, up $1.02 at $58.97 after forecasting a rise in annual profit.

Telstra was down four cents at $5.50.

KEY FACTS

* At 1200 AEST on Monday, the benchmark S&P/ASX200 index was down 36.4 points, or 0.66 per cent, at 5,494.7 points.

* The broader All Ordinaries index was down 37.2 points, or 0.67 per cent, at 5,495.1 points.

* The September share price index futures contract was down 44 points at 5,494 points, with 42,581 contracts traded.

* National turnover was 1.14 billion securities worth $1.8 billion.