Aust stocks hold gains at noon

Local market maintains early strength as optimism over US debt deal grows.

The Australian stock market maintained its gains at noon as optimism regarding a deal on the US debt ceiling grows.

At 1205 AEDT, the benchmark S&P/ASX200 index was 1% higher at 5,260.2 points, while the broader All Ordinaries index lifted 1.1% at 5,259 points.

Materials led the market higher, with the major miners both posting strong performances

In economic news, the Reserve Bank of Australia released the minutes of its October board meeting, which showed the central is still open to further rate cuts, but not just yet.

Meanwhile, the Australian Bureau of Statistics released August lending finance and September new motor vehicles sales data.

In equities news, Rio Tinto (RIO) is slated to release its third quarter operations review.  

In Australia, the market on Monday fell, weighed down by investor nervousness as the deadline approaches to resolve the US political deadlock over the debt ceiling.

The benchmark S&P/ASX200 index was down 23 points, or 0.44%, at 5,207.9.

The broader All Ordinaries index was down 22.3 points, or 0.43%, at 5,206.5.