SYDNEY, AAP – Australia’s share market has closed lower for a third consecutive day and finished down for the week as investors remained jittery about the prospect of inflation.

The S&P/ASX200 benchmark index closed lower by 37.7 points, or 0.56 per cent, to 6708.2 on Friday.

The All Ordinaries closed lower by 40.5 points, or 0.58 per cent, at 6963.1.

For the week, the ASX200 was down 0.87 per cent.

US markets were lower as bond yields rose despite US Federal Reserve assurances a day earlier it would not raise rates soon and would help a recovering economy.

The Australian dollar was buying 77.44 US cents at 1623 AEDT, lower from 78.26 US cents at Thursday’s close.