Near noon AEDT on Monday, the benchmark S&P/ASX200 index was down 33.9 points, or 0.41 per cent, to 8,227.9, while the broader All Ordinaries had dropped 31.1 points, or 0.37 per cent, to 8,489.0.
The losses come after Friday's down day on Wall Street, where the S&P500 dropped 1.1 per cent and the Nasdaq fell 1.5 per cent amid a jump in bond yields.
Every sector of the ASX was lower at midday except for materials/mining, which was flat, and energy, which was up 1.3 per cent.
The interest-rate-sensitive property sector was the biggest loser, dropping 1.0 per cent as office tower owner Dexus fell 2.6 per cent and shopping mall owner GPT Group retreated 2.7 per cent.
All of the big banks were down, with CBA falling 0.8 per cent, NAB and Westpac both dropping 0.5 per cent and ANZ dipping 0.6 per cent.
In the heavyweight mining sector, BHP was up 0.3 per cent, while Fortescue had added 0.6 per cent and Rio Tinto had advanced 0.9 per cent.
In the energy sector, Santos had gained 1.5 per cent and Woodside was up 1.2 per cent.
The Australian dollar was buying 62.29 US cents, from 62.09 US cents at Friday's ASX close.
At midday the ASX200 was up 8.4 per cent year-to-date, or up 12.3 per cent including dividends.
The ASX's final day of trading will be on Tuesday, with the market closing two hours early for the holiday.
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