Australian shares fell 82 points, or 1.0%, to 8,434 in early Monday trade, marking a third straight decline as risk sentiment weakened.
The drop tracked softer U.S.
futures, with the Iran war entering its fifth week and raising concerns over broader economic fallout, particularly via higher energy costs.
Also, caution mounted ahead of key U.S.
NFP data this week, alongside global manufacturing and services PMI figures.
Economists expect these readings to show a slowdown in March, reflecting high energy prices linked to the conflict.
Meanwhile, the OECD last week warned that Australia could face one of the highest inflation rates among advanced economies.
Major players in the transport sector, including Uber and Qantas, are announcing price hikes, local media said.
Losses were broad-based, led by consumer, industrial services, logistics, and financial stocks.
Notable decliners included Wisetech Global (-5.5%), Xero Ltd. (-4.7%), Mineral Resources (-2.9%), and Ramsay Health Care (-2.2%).