Aust shares drop again as yields rise, tensions soar

Every ASX sector finished lower except for energy, which rose 0.2 per cent on higher oil prices. (Steven Saphore/AAP PHOTOS)

The Australian share market has dropped precipitously for a second day, closing at two-and-a-half week low amid the spiralling conflict in the Middle East and soaring US bond yields.

The benchmark S&P/ASX200 index on Friday finished down 80.9 points, or 1.16 per cent, to 6,900.7, while the broader All Ordinaries fell 83 points, or 1.16 per cent, to 7,089.7.