The Australian sharemarket pulled back in late trading but still closed slightly higher, with investors unfazed by Julia Gillard announcing that the next federal election would be on September 14.
At 4.15pm AEDT, the benchmark S&P/ASX 200 index had risen 7.7 points, or 0.16 per cent, to 4896.7 points, and the broader All Ordinaries index was up 8.3 points, or 0.17 per cent, at 4919.1 points.
On the ASX 24, the March share price index futures contract was eight points higher at 4862 points, with 22,279 contracts traded, according to preliminary calculations.
IG Markets market strategist Stan Shamu said although the local bourse finished higher, investors were now feeling they were in "overbought" territory after a long recent run upwards.
"These markets just look bit overextended," Mr Shamu said. "Profit-takers are starting to lock in some gains after what has been a solid month or so."
Mr Shamu said the announcement of the federal election had not had any great effect on the sharemarket.
He said the media sector, which one would expect to benefit from the long lead-up to the poll, had not bounced much.
In the resources sector, global miner BHP Billiton rose 45c to $37.62, and Rio Tinto rose 97c to $67.12.
Among the major banks, Westpac was 5c lower at $28.17, National Australia Bank fell 8c to $27.64, Commonwealth Bank was down 3c at $64.70, and ANZ rose 7c to $26.58.
Among insurance stocks, QBE rose 47c at $11.75. Suncorp fell 2c to $10.68, and Insurance Australia Group was up 6c at $4.99.
The estimated cost of floods caused by ex-Cyclone Oswald stands at almost $200 million, as insurers continue to field new claims.
Among other stocks, diversified conglomerate Wesfarmers was 69c lower at $38.13 after it lifted sales in all its retail businesses in the first half of the financial year, with the strongest growth coming from Coles and Bunnings.
National airline Qantas was 1.5c lower at $1.50 as Fairfax Media reported that a consortium of investors that included former Qantas chief executive Geoff Dixon had sold a bulk of Qantas shares on January 22.
Preliminary national turnover was 1.93 billion securities worth $3.9 billion, with 491 stocks up, 506 down and 368 unchanged.
