Aust stocks higher at noon

Local market continues rally, lifts to new five-year highs as investors expect US monetary stimulus to continue.

The Australian stock market has continued to rally, reaching new five-year highs after strong Wall Street leads as investors expect the United States Federal Reserve to continue its $US85 billion a month bond-buying program.

At 1205 AEDT, the benchmark S&P/ASX200 index lifted 1.29%, at 5,455.6 points, while the broader All Ordinaries index added 1.22%, at 5,451.5 points.

That is the highest point the benchmark index has hit since the week beginning June 9, 2008, during which it climbed to 5,573.4 points.

Investors are also positioning for earnings reports from the big banks in the coming week.