* ASX benchmark falls below key 7,000 level
* Energy sub-index falls to over four-month low
* "Big Four" banks slip between 1.5% and 1.7%
* Air New Zealand cuts outlook due to virus impact, shares fall
By Niyati Shetty
Feb 24 (Reuters) - Australian shares posted broad-based declines on Monday as a spike in fresh coronavirus cases outside China deepened concerns surrounding the epidemic's impact on global economy.
The S&P/ASX 200 index .AXJO was down 2%, or 143.4 points, at 6,995.60, as of 0041 GMT, falling below the key 7,000 level and marking its worst session in nearly three months.
Less than 10% of the stocks in the bourse traded in the black on Monday. The index closed down 0.3% in the previous session.
The International Monetary Fund on Saturday trimmed 2020 growth outlook for China and the world economy, while an uptick in cases in South Korea, Italy and Iran has further dimmed global economic prospects and dampened risk sentiment. alarming aspect is the virus showing up in patients with no connection to China, suggesting that things are about to get extremely problematic and market conditions could get exponentially worse this week," Stephen Innes, chief market strategist at AxiCorp wrote in a note.
Energy stocks .AXEJ slumped up to 3.6% to their lowest in more than four months as oil prices fell over worries that the virus would pinch crude demand. O/R
Oil index heavyweight Woodside Petroleum Ltd WPL.AX tumbled 5.9%, marking its worst session in more than six months, while Oil Search Ltd OSH.AX declined 3%.
Refiner Viva Energy Group Ltd VEA.AX , however, moved against the tide with a 3.7% rise after announcing a A$680 million ($450.64 million) share buyback plan.
Financials .AXFJ fell to a nearly two-week low, with the so-called "Big Four" banks slipping between 1.5% and 1.7%. Top lender Commonwealth Bank of Australia CBA.AX fell up to 1.5%.
The tech sub-index .AXIJ tracked declines in China-reliant U.S. peers, that dropped for a second straight session on Friday.
ASX-listed software firm Xero Ltd XRO.AX lost 3%, while peer WiseTech Global WTC.AX declined 4.2%.
Bucking the trend, gold miners .AXGD advanced 4.3% as bullion prices rose after investors flocked to the safe-haven precious metal. GOL/
Across the Tasman Sea, New Zealand's benchmark S&P/NZX 50 index .NZ50 declined 1.25% or 151.17 points to 11,922.17.
ANZ Research analysts, in a note, said they expected to see the country's growth significantly dented over the first half of 2020, as a long-term disruption to the Chinese economy could hurt imports of key supplies.
ANZ lowered its growth forecast to 2.1% for the year, compared with its previous outlook of 2.5%.
Air New Zealand Ltd AIR.NZ slumped 5.5% to the lowest since last June, after the flag carrier cut its 2020 outlook citing impact from the coronavirus outbreak. = 1.5090 Australian dollars)