Australia's share market has dropped for a second straight session, as ongoing trade tensions weighed on investor sentiment and the nation's biggest miner took a tumble.
The S&P/ASX200 fell 58.6 points on Tuesday, down 0.66 per cent, to 8,815.9, as the broader All Ordinaries gave up 56.3 points, or 0.61 per cent, to 9,138.6.
"We've had a second day of falls this week, and Friday's 11-week high is looking more significant now in terms of a potential short-term or medium-term top," IG market analyst Tony Sycamore told AAP.
US President Donald Trump's tariff threats against select European nations over potentially annexing Greenland have roiled global equities markets, but analysts are divided on whether this is a negotiation tactic or something more.
"It's a very strong part of the administration's plans to get hold of Greenland by hook or by crook," Mr Sycamore said.
"And with diplomatic channels proving limited in their effectiveness, I think they're probably seeing economic coercion by tariffs as the most effective way to try and achieve their objectives."
The first US trading session for the week will open on Tuesday night following a bank holiday, and futures have been pointing firmly lower since the weekend with little sign of budging.
Raw materials stocks and financials led seven of 11 local sectors lower, as BHP took a hit after an update revealed a major project cost blowout and persistent price tussles with a key steelmaker.
BHP shares slipped almost two per cent, and fellow iron-ore giants Rio Tinto and Fortescue also traded lower, as iron ore futures fell to two-week lows.
The resurgence in risk-off sentiment sent investors clambering for safe havens, launching gold's price above $4,700 ($A6,975) for the first time.
ASX-listed gold miners had a mixed day, the late-session uptick in the underlying commodity offering modest boosts to names like Northern Star and Newmont.
Bellevue Gold was the top-200's best performer, up fiver per cent following a strong quarterly update.
Lynas Rare Earths tumbled more than six per cent ahead of the group's quarterly report and briefing on Wednesday, while mineral sands producer Iluka slipped 2.8 per cent.
The fellow-heavyweight financials sector lost 1.1 per cent, led by a 1.8 per cent drop in CBA shares to $150.48, as all big four banks lost ground.
AMP pared early losses to 0.8 per cent by the close after announcing Blair Vernon, the group's chief financial officer, will take the reins from Alexis George as chief executive from March 30.
Energy stocks fell 0.3 per cent, as oil prices edged slightly lower, but losses in oil and gas producers were counterbalanced by a good day for coal producers after Origin extended the life of the Eraring coal-fired power station to 2027.
Origin shares jumped 2.6 per cent to $11.34 following the announcement, helping lift the utilities sector 1.6 per cent by the close.
The ASX-listed tech sector was the second-best performing, up 0.9 per cent as Xero and Megaport each charged three per cent higher.
Droneshield soared more than four per cent to $4.71, boosted by a broad uplift in defence stocks ahead of an expected increase in European defence spending, and its selection for a local defence department counter-drone project panel the previous week.
The Australian dollar is buying 67.36 US cents, up from 66.96 US cents on Monday at 5pm.
ON THE ASX:
* The S&P/ASX200 fell 58.6 points, or 0.66 per cent, to 8,815.9
* The broader All Ordinaries dipped by 56.3 points, or 0.61 per cent, to 9,138.6
CURRENCY SNAPSHOT:
One Australian dollar trades for:
* 67.36 US cents, from 66.96 US cents at 5pm AEDT on Monday
* 106.50 Japanese yen, from 105.73 Japanese yen
* 57.75 euro cents, from 57.58 euro cents
* 50.11 British pence, from 49.99 British pence
* 115.49 NZ cents, from 115.95 NZ cents
