Australian market higher at noon

The Australian share market remained higher at noon as investors followed positive offshore leads rather than focus on ongoing concerns about the resources tax and European debt.

At 1200 AEST, the benchmark S&P/ASX200 index was up 55.3 points, or 1.25 per cent, at 4,490.6 points, while the broader All Ordinaries index was up 53 points, or 1.19 per cent, at 4,501.4 points.

On the Sydney Futures Exchange, the June share price index futures contract was 52 points higher at 4,493 points, with 24,560 contracts traded.

RBS Morgans private client adviser Bill Bishop said a positive overnight lead from Wall Street was the main driver of the market's gains, plus the effect of positive local employment data on Thursday.

"It's a very refreshing bounce," Mr Bishop said.

"The Americans felt better about things last night, and our unemployment figures improved out of sight, and we've forgotten about the resources super profit tax for the morning."

Higher exports from China and lower US jobless claims helped relieve nervousness on Wall Street, with the Dow Jones Industrial Average index closing 2.76 per cent higher.

In the resources sector, BHP Billiton was up two per cent, by 77 cents at $38.39, Rio Tinto had gained over one per cent 94 cents to $68.81, Fortescue Metals had risen 14 cents, or over 3.5 per cent, to $4.10, and OZ Minerals was 1.5 cents higher at $1.025.

Investor activity was fairly benign, Mr Bishop said.

"We've not been getting a flood of phone calls in the brokerage offices, but it's nice to see a bit of optimism about," he said.

Oil stocks were higher as oil prices rose in New York for the third day in a row, on the back of strong Chinese exports figures.

At 1206 AEST, Woodside Petroleum was up $1.30, or 2.96 per cent, at $45.21, Santos had gained 35 cents, or 2.67 per cent, to $13.44, while Oil Search was four cents higher at $5.85.

In the banking sector, ANZ was up 25 cents at $22.87, Commonwealth had gained 81 cents to $52.20, National Australia Bank lifted 22 cents to $24.60, and Westpac was 50 cents higher at $23.14.

Making news, residential builder AVJennings has agreed to sell its contract building division to Japan's Sekisui House.

AVJennings shares were up three cents, or 7.32 per cent, at 44 cents.

Iron ore miner Murchison Metals Ltd has said its joint venture company with Japan's Mitsubishi had signed non-binding sales deals with North Asian steel mills.

Murchison shares were up 16 cents, or 8.84 per cent, at $1.97.

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