Aust stocks close higher

Local market lifts as investors expect the US to further delay tapering stimulus.

The Australian stock market closed at a fresh five-year high as investors expect the United States to keep its monetary stimulus in place until March or even longer.

At the 1615 AEDT official market close, the benchmark S&P/ASX200 index was 0.25% higher at 5,386.3 points, while the broader All Ordinaries index increased 0.22% to 5,385.7 points.

IG analyst Chris Weston said traders have pushed expectations for an end to the US Federal Reserve's $US85 billion per month bond-buying program from December back to March

Some investors are betting on June and others are suggesting the central bank could even increase purchasing, Mr Weston said.