Energy still powers on

BANKING and health care stocks lifted the Australian share market higher, while the energy sector also pushed ahead despite weak oil prices.

The benchmark S&P/ ASX200 index closed 31.3 points higher, or 0.53 per cent, at 5928.2 yesterday while the broader All Ordinaries rose 0.57 per cent.

The local indices continue to correct after falling more than 6 per cent in October, but Bell Direct equities analyst Julia Lee said earnings growth has peaked and share markets around the world will moderate from these levels.

Oil prices are down about 5 per cent this month, usually an indication global growth is slowing, Ms Lee said. Despite weaker prices, the sector had its third day in the black with Woodside Petroleum, Oil Search and Origin Energy all up between 0.5 and 1.3 per cent.