Aust stocks climb at noon

Local market slightly higher as US Senate passes debt deal, govt set to reopen.

The Australian stock market lifted slightly at noon after the United States Senate passed an eleventh-hour deal to save the country from default. 

At 1205 AEDT, the benchmark S&P/ASX200 index rose 0.28% to 5,277.8 points, while the broader All Ordinaries index added lifted 0.27%, to 5,278.8 points.

The US Senate passed legislation to raise the debt ceiling at reopen the federal government shortly after 1100 AEDT, passing the bill to the House of Representatives for final approval. 

The deal extends the US Treasury's borrowing authority until February 7.

"The can has been kicked further down the road, as every commentator suggests," IG analyst Evan Lucas said.

"The reset button has been pushed and we will go through this all again in two months time."

Mr Lucas said the market may have already factored in a debt deal and "profit taking could hit the screens in the afternoon".

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