The Australian share market has fallen nearly two per cent to a seven week low, wiping out $27 billion in value, amid concerns about US interest rates and the Brexit vote.
Investors dumped shares ahead of the US Federal Reserve's latest interest rate decision later this week and Britain's possible exit from the European Union next week, IG market strategist Evan Lucas said.
The market was also playing catch-up on Tuesday following a three-day long weekend, Mr Lucas said, noting the Asian market was "savaged" on Monday.
At 1615 AEST on Tuesday, the benchmark S&P/ASX 200 index was down 109.3 points, or 2.06 per cent, at 5,203.3 points.
The broader All Ordinaries index was down 109.1 points, or 2.02 per cent, at 5,282.5 points.
The June share price index futures contract was down 60 points at 5,199 points, with 175,000 contracts traded.