The Aussie market continued its losing streak after another horror night on Wall Street and Europe.

With Greece's Prime Minister George Papandreou threatening to scuttle last week's debt deal by announcing a referendum, investors have become fearful a no vote will lead to a disorderly default.

Back at home, Australian residential building approvals slumped 13.6% in September, which came in well below economist expectations and provided yet more evidence of a weak housing sector.

Losses among the big banks weighed heavily on the market. Westpac shed 1.9% despite posting a record full year profit of $6.99 Billion. NAB also finished the day weaker (-0.8%).

The miners did not fare much better, with Rio Tinto down 1.1% and BHP losing 0.6%.

The big move was OneSteel plunging 17.9% after lowering its earnings guidance amid declining in iron ore prices.

The ASX 200 fell 48 points (-1.1%) closing at 4185.

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