Shorten hits out at Melbourne violence

Opposition Leader Bill Shorten has seized on the violent riots in Melbourne to back his claim that there are pockets of systemic racism in Australia.

Seven people were arrested as more than 500 people rallied in heavy rain against both Islam and racism in Coburg on Saturday.

"When we see people have violent brawls, that to me highlights some of the problems we have in our community," Mr Shorten told reporters in Canberra on Sunday.

"The truth of the matter is there are pockets of systemic racism."

However, on the same day his home city had also shown the good side of humanity.

Mr Shorten joined Prime Minister Malcolm Turnbull and AFL great Michael Long for a walk for indigenous reconciliation on Saturday afternoon ahead of the Dream Time at the G clash between Essendon and Richmond.

He said the walk symbolised a coming together of Australians and recognised that the nation can do better.

Police are still trying to track down a number of troublemakers who hid their faces during the Coburg rallies.

The groups involved were the anti-Islamic group United Patriots Front, the True Blue Crew while others were part of the No Racism rally.