Shares post worst week in six months as risks converge

Markets are now tipping the Reserve Bank will make three 25 basis-point increases by May 2027. (Joanna Kordina/AAP PHOTOS)

Australian shares have had their worst five days since the first week of the US-Iran war, as stubborn oil prices, high bond yields and inflation woes hammer risk sentiment.

The S&P/ASX200 fell 78.2 points on Friday, down 0.89 per cent, to 8,741.2, as the broader All Ordinaries slumped 88.1 points, or 0.98 per cent, to 8,920.2.