Australian Sharemarket Suffers Heavy Losses Amid Inflation Fears

The Australian sharemarket had its three-day winning streak snapped due to rising inflation concerns and heavy falls on Wall Street overnight.

The benchmark ASX 200 dropped 70.90 points or 0.78 per cent to 8967.70, while the All Ordinaries dragged 77.00 points or 0.84 per cent to 9122.70.

Oil prices rallied after the US completed a 'heavy wave of strikes against Iran', which added further pressure on the market.

IG senior market analyst Tony Sycamore attributed the falls to the weak lead from Wall Street, where investors digested the Federal Reserve's decision to keep rates on hold.

The ASX 200 is still on track for its fourth consecutive monthly gain, up nearly 2 per cent in the first 30 days of July.