Aust stocks lower at noon

Local market sits more than half-a-per cent lower as US budget stalemate weighs.

The Australian stock market extended its earlier losses to sit lower at noon, following falls on Wall Street overnight as the US budget stalemate entered its second week.

At the 1205 AEDT, the benchmark S&P/ASX200 index lowered 0.59% to 5,130.5 points, while the broader All Ordinaries index edged down 0.62% to 5,128.5 points.

In economic news, the National Australia Bank's monthly business survey for September showed business confidence hit a three-and-a-half year high.

ASX chief executive Elmer Funke Kupper is scheduled to speak at a business function in Melbourne on the topic of Competitive Australia, but, otherwise, no major equities news is expected.

In Australia, the market on Monday closed lower in thin trade, driven down by financial stocks amid uncertainty over the US debt situation.

The the benchmark S&P/ASX200 index was 46.9 points, or 0.90%, lower at 5,161.1.

The broader All Ordinaries index was down 45.3 points, or 0.87%, at 5,160.6.