Australian stocks were higher at noon after all major US indices surged more than eleven per cent overnight.

At 1200 AEDT, the benchmark S&P/ASX200 was up 219 points, or 5.24 per cent, at 4399.7, while the broader All Ordinaries had gained 227.6 points, or 5.5 per cent, to 4369.5.

At 1355 AEDT the S&P/ASX200 was up 175.8 points, at 4356.5.

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The December share price index futures contract had risen 244 points to 4438, on a volume of 21,769 contracts.

Burrell Stockbroking director of trading Richard Herring said the market had opened strongly this morning, with banking and energy sectors leading the gains.

"We've opened up quite fairly ... (that will) probably temper a little bit over lunchtime I think and into the afternoon," Mr Herring said.

"Clearly some of the banking issues are quite firm (and) a little bounce in some energy players, which is nice.

"They were a sector that did under-perform yesterday but are showing a bit of strength today, which is encouraging.

"(We will) see what the European and US markets may do tonight and hopefully we'll see it close similar to yesterday where we saw some good strength and buying into the close.

"Fingers crossed, we hold onto the gains."

National Australia Bank rose $2.21, or 9.87 per cent, to $24.61, Commonwealth Bank gained $2.15, or 5.09 per cent, to $44.35 and ANZ Banking Group added $1.08, or 6.24 per cent, to $18.38.

Westpac climbed 82 cents, or 3.73 per cent, to $22.82 and its takeover target St George Bank added $1.45, or 5.24 per cent, to $29.11.

Amongst energy stocks, Woodside Petroleum was up $4.07, or 11.06 per cent, at $40.88, Santos rose $1.09, or 8.93 per cent, to $13.30, and Oil Search added 36 cents, or 10.5 per cent, to $3.79.

On Wall Street overnight, the Dow Jones industrial average rose 936.42, or 11.08 per cent, to settle at 9,387.61.

The Standard & Poor's 500 index advanced 104.13, or 11.58 per cent, to 1,003.35, and the Nasdaq composite index rose 194.74, or 11.81 per cent, to 1,844.25.