Aust stocks close flat

Local market little changed after unemployment rate better than expected.

The Australian stock market narrowed morning losses to close flat after the release of better than expected unemployment data.

At the 1615 AEDT official market close, the benchmark S&P/ASX200 index inched down 0.1% to 5,146.2 points, while the broader All Ordinaries index edged down 0.11% to 5,147.1 points.

The Australian Bureau of Statistics released September labour force data, with the unemployment rate falling to 5.6% against expectations it would hold steady at 5.8%.

Investors continue to wait for United States lawmakers to make a deal to raise the debt ceiling before the October 17 deadline.

IG analyst Evan Lucas said trade on global bourses remains volatile.

"I am still short the US markets until this political storm is resolved," Mr Lucas said.