Australian shares drop while gold glitters to new high

Shares on the Australian stock market have dropped 0.5 per cent on the first day of the new month. (Dan Himbrechts/AAP PHOTOS)

The Australian share market has started the new month on the wrong foot, dragged down by the big banks and major miners, while gold surged to a new all-time high following another post by Donald Trump.

The benchmark S&P/ASX200 index on Monday fell 45.4 points, or 0.51 per cent, to 8,927.7, while the broader All Ordinaries dropped 46.2 points, or 0.5 per cent, to 9,196.8.