The Australian share market has closed more than one per cent lower, with investors wary of the increased likelihood of a hike in US interest rates.

At the close on Monday, the benchmark S&P/ASX200 index was 77.6 points, or 1.32 per cent, lower at 5,821.3, while the broader All Ordinaries index was down 75.6 points, or 1.29 per cent, at 5,793.0, according to preliminary figures.

On the ASX 24, the March share price index futures contract was 78 points lower at 5,812, with 19,671 contracts traded.