(Updates with movements in early trade)
SYDNEY, May 14 (Reuters) - Australian shares edged 0.2 percent higher on Tuesday after a weaker Australian dollar lifted companies with a high exposure to the U.S. markets, but a weak outlook for iron ore prices weighed on mining stocks.
Companies whose earnings are largely U.S. dollar based benefit when profits gained abroad are repatriated. Building products maker James Hardie and QBE Insurance Group both added 0.4 percent.
The benchmark S&P/ASX 200 index rose 11.2 points to 5,221.5 by 0011 GMT, hovering not far from a five-year high of 5,242 marked last week.
The Australian dollar wobbled near 11-month low of $0.9940 hit on Monday, faceing headwinds from a fall in commodity prices.
Global miners BHP Billiton Ltd and Rio Tinto Ltd slipped 0.4 percent and 0.5 percent respectively. Spot iron ore prices are seen slipping to fresh lows for the year this week amid signs that top importer China’s appetite for the raw material is waning.
New Zealand’s benchmark NZX 50 index inched 0.1 percent or 3 points higher to notch a fresh all-time high of 4,674.6. (Reporting by Thuy Ong; Editing by Edwina Gibbs)