(4.30pm AEST)

Investor confidence remained strong today, with the local market managing to hold onto and add to yesterday's 3.5pct gain. Markets around the Asian region were generally firmer, after the Greek parliament approved a contentious property tax law which is crucial to its austerity plan and its commitments to secure bail-out funds. The local share market lost a little steam in afternoon trade but closed higher by 0.8pct, with the All Ordinaries Index (XAO) adding 34.2pts to 4097.7 and the S&P/ASX 200 Index firmer by 34.9pts to 4039.5.

After the market close, EU Commission President Jose Manuel Barroso announced Greece will remain in the Eurozone.

Financial stocks were mostly firmer, although profit takers did move in on some of the banks following yesterday's strong gains. Shares in Westpac (WBC) added 2pct to $20.65 while the National Australia Bank (NAB) was firmer by 2.6pct to $22.95. Shares in the Commonwealth Bank (CBA) eased by 0.1pct to $45.50 while the ANZ (ANZ) lost 0.3pct to $19.74. The Financial Stability Board today issued a report saying Australia´s financial system faces a range of policy challenges, including dealing with the impact of the mining boom and managing systemic risk. Shares in Macquarie Group (MQG) today rose 2.8pct to $22.54.

Energy stocks were among the best performers, with the sector adding 1.4pct on a firmer oil price and as investors opted for cyclical stocks. Shares in Woodside Petroleum (WPL) added 3.5pct to $31.94.

Index leader BHP Billiton (BHP) firmed by 0.5pct to $35.52 while Rio Tinto (RIO) was up 1pct to $64.05. Iron ore miner Fortescue Metals Group (FMG) fell after a recent rally, down 8pct to $4.52.

Retail stocks looked strong, with David Jones (DJS) up 4.6pct to $2.93 and Myer Limited (MYR) firmer by 4.5pct to $2.10.

Foster's Group (FGL) rose 0.4pct to $5.30 after the Australian Competition and Consumer Commission have the all clear for UK based brewer SAB Miller to proceed with its $9.9 billion takeover bid. The deal still has to receive get shareholders tick of approval and pass the Foreign Investment Review Board but appears to have passed its biggest hurdle.

Healthcare stocks were generally lower today on a switch from defensive to more cyclical stocks. Cochlear (COH) fell 2.8pct to $49.09 while CSL Limited (CSL) fell 0.7pct to $28.81.

New home sales rose 1.1pct in August, lifting from 10 and a half year lows. Sales had fallen 8pct in July and were down 8.7pct in June.

The Australian dollar ended the day's trade at US98.8c but in early European trade had lifted to US99c. It was also worth £0.6331 and €72.83c.

On the market overall, a total of 2.2 billion shares were traded, worth $6.08 billion. 630 were up, 362 were down and 361 were unchanged.

At 5.30pm AEST on the ASX24, the futures contract was at 4071, up 8pts.

Ahead tonight, durable goods orders and weekly crude inventories are released in the US.

(From Juliette Saly, CommSec Market Analyst)