(Updates to close)
SYDNEY, Aug 10 (Reuters) - Australian shares recovered from early losses to close higher on Monday as investors flooded back into banks following a sell-off and some company profit announcements beat expectations.
After dipping at the open, the S&P/ASX 200 index .AXJO reversed course to finish up 0.63 percent or 34.42 points at 5,509.2. On Friday, following ANZ's capital raising announcement, the benchmark fell 2.4 percent, its biggest one-day fall in three years.
New Zealand's benchmark NZX 50 index .NZ50 closed down 3.6 points or less than 0.1 percent at 5,865.0.