SYDNEY: Australian shares closed lower on Monday, dragged by the energy sector on weaker oil prices, and as authorities warned that the coronavirus outbreak in the country's second-most populous state could take weeks to control.

The S&P/ASX 200 index settled 0.6% lower at 6,001.60, reversing Friday's gain. Travel booking firm Webjet and Corporate Travel Management each closed about 3.6% down. The energy index fell 2.6% to its lowest close since May 18 as oil prices declined on fears that a recovery in fuel demand could be derailed by a rise in the pace of coronavirus infections globally.

Industry major Santos settled down 3.6%, while Woodside Petroleum shed 2.6%. The heavyweight financial index slipped 1.1%, with almost all components finishing in the red. New Zealand's benchmark S&P/NZX 50 index closed 0.3% lower at 11,553.16. Among top losers, Pushpay Holdings fell 4.1%, while Restaurant Brands New Zealand lost 2.4%.