The Australian share market is trading flat today, as gains from the banks are offset by losses from mining stocks. The All Ordinaries Index (XAO) is up 2.8pts at lunchtime in the East to 4764.3.

The National Australia Bank (NAB) has today reported a 19pct lift in FY cash profit to $4.6 billion, above expectations. Shareholders will receive a final dividend of 78 cents per share, versus expectations of 76cps. The ANZ (ANZ) which is reporting its HY results tomorrow, is up 1.8pct to $24.29. Shares in the Commonwealth Bank (CBA) have added 0.4pct to $50.40 while Westpac (WBC) is up 2.2pct to $23.35.

Mining stocks are under selling pressure due to a lack of conviction on the London Metals Exchange overnight. Shares in BHP Billiton (BHP) are down 0.5pct to $41.61 while Rio Tinto (RIO) is off 1.1pct to $83.17 and Fortescue Metals Group (FMG) is lower by 2.9pct to $6.39.

ASX Limited (ASX) shares are also under pressure, down 2pct to $37.89, as a number of regulatory and political hurdles dent investor confidence its merger with the Singapore Exchange will get the green light.

Insurer IAG (IAG) has dropped 0.8pct to $3.81 after reaffirming its FY guidance at the company's Annual General Meeting.

The Aussie dollar is weaker in the wake of softer than expected inflation data. The Consumer Price Index (CPI) rose 0.7pct in the September quarter to an annual rate of 2.8pct, which is within the Reserve Bank's comfort zone. The Aussie dollar was worth US98.6c ahead of the release of the data and at 12pm AEDT has slipped to US97.9c, £0.6175 and €70.65c.