March 25 (Reuters) - Australian shares are set to open lower on Monday following a weaker Wall Street finish on Friday, when gloomy U.S. factory data led to an inversion of U.S. Treasury yields, feeding fears of a global economic downturn.
U.S. Treasury 10-year note yields dropped below three-month Treasury bill yields for the first time since 2007 after the disappointing U.S. manufacturing and services data. prompted investors to flee risk-sensitive assets as a yield curve inversion is seen as an indicator of looming recession.
The local share price index futures YAPcm1 fell 0.8 percent or 50 points to 6,133, a 62.2-point discount to the underlying S&P/ASX 200 index .AXJO close. The benchmark ended 0.5 percent higher on Friday.
New Zealand's benchmark S&P/NZX 50 index .NZ50 fell 0.7 percent or 69.57 points to 9,481.42 in early trade.