The Australian share market closed lower after negative leads from the US and European markets, with energy stocks losing ground but the gold sector making gains.

The benchmark S&P/ASX200 index was down 52.3 points, or 1.37 per cent, at 3,761.6, while the broader All Ordinaries index had fallen 49.3 points, or 1.3 per cent, to 3,755.4.

On the Sydney Futures Exchange at 1618 AEST, the June share price index contract was 66 points lower at 3,771 on a volume of 21,405 contracts.

CommSec market analyst Juliette Saly said the fall in overseas markets overnight was due to Standard & Poor's downgrading its ratings outlook for the UK economy.