Stocks marginally in red

LOCAL shares was marginally in the red at noon on thin trading, after a positive start following better than expected jobs data in the US overnight.

LOCAL shares was marginally in the red at noon on thin trading, after a positive start following better than expected jobs data in the US overnight.

At 12pm AEDT, the benchmark S&P/ASX200 index was down 10.2 points, or 0.22 per cent, at 4712 points, while the broader All Ordinaries index had slipped 8.9 points, or 0.19 per cent, to 4732.1 points.

On the Sydney Futures Exchange at 12.01pm AEDT, the December share price index contract was12 points lower at 4723, on volume of 10,141 contracts.

CMC Markets analyst David Taylor said the domestic market was "wandering in the wilderness", with little direction and thin trading volumes.

"Good employment data from US gave the local market a boost for the first half hour, but afterwards, it has bounced up and down," Mr Taylor said.

"Lately, we've seen the materials and energy sectors holding the market up when it's positive, but there has been very little conviction anywhere else.

"It's all over the shop today... We're having considerable problems gaining momentum.
"Most of the information we have has been already priced into the market."

Mr Taylor said he expected a minor rally around Christmas and into the New Year, supported by minerals, energy and, perhaps, finance.

At 12.02am AEDT, BHP Billiton was up 37 cents at $41.56, while Rio Tinto had fallen 91 cents to $70.79.

"Investors have been switching out of Rio Tinto and into BHP," Mr Taylor said.