The Australian stock market is likely to fall today after equities in the US slumped overnight on renewed concerns about the economy, as reports showed retail sales and employment are weakening.

At 0732 AEST on the Sydney Futures Exchange, the September share price index futures contract had fallen 153 points to 4,848.

In news today, the Australian Industry Group and Housing Industry Association release the Australian Performance of Construction Index (Australian PCI) for August.

Incitec Pivot Ltd holds a general meeting to consider a share split.

The Paydirt "Africa DownUnder" conference continues in Perth.

Yesterday, the Australian share market closed weaker across the board as the big miners and most of the banks fell.

All of the large sectors were hit, but the major laggards included utilities, metals and mining, energy, materials and telecoms.

The benchmark S&P/ASX200 slid below the key 5,000 mark, losing 80.5 points, or 1.59 per cent, to 4,979.5, while the broader All Ordinaries lost 79.6 points, or 1.55 per cent, to 5,050.9.

NEW YORK - Wall Street was awash in losses on Thursday as weak retail results and data suggesting mounting job losses heightened fears about the US economic outlook.

The Dow Jones Industrial Average skidded 344.65 points, or 2.99 per cent, to end at 11,188.23, its weakest close since late July as the blue-chip index moved into "bear market" territory -- down 20 per cent from last year's highs.

The Nasdaq composite slid 74.69 points, or 3.2 per cent, to 2,259.04 and the broad-market Standard & Poor's 500 index shed 38.15 points, or 2.99 percent, to 1,236.83.

Data showing higher jobless claims in the past week and more losses in private-sector employment weighed on sentiment, as did a mixed batch of monthly sales reports from the retail sector.

Retail leader Wal-Mart delivered better-than-expected August sales but most other stores showed weakness.

LONDON - European stock markets closed sharply lower on Thursday for the second day in a row, stricken by gloomy economic forecasts from the European Central Bank and weighed down by a slump on Wall Street.

London's FTSE 100 blue chip index closed down 137.6 points, or 2.50 per cent, at 5,362.10, having risen slightly in the morning.

FRANKFURT - The DAX fell 187.92 points, or 2.91 per cent, to 6,279.57.

PARIS - The CAC 40 shed 143.12 points, or 3.22 per cent, to 4,304.01.

TOKYO - Japanese share prices closed down 1.04 per cent on Thursday amid caution ahead of the release of US jobs data, with losses in commodity shares and shipping companies dragging down the index.

The Tokyo Stock Exchange's benchmark Nikkei-225 index lost 131.93 points to close at 12,557.66.

HONG KONG - The Hang Seng index closed down 195.58 points, or 0.95 per cent, at 20,389.48.

WELLINGTON - The New Zealand sharemarket closed a fairly lacklustre session lower with top stock Telecom among the losers.

The benchmark NZSX-50 index closed down 25.31 points at 3348.14. There were 65 falls and 36 rises.