News: XFJ "Big Four" banks lead Australian shares lower; NZ also down

(Updates to close)

Nov 2 (Reuters) - Australian shares fell on Wednesday, weighed down by selling of the "Big Four" banks and growing aversion to riskier assets ahead of a U.S. Federal Reserve policy decision later in the day and the U.S. presidential election next week.

The S&P/ASX 200 index (xjo) ended down 1.2 percent, or 61.47 point to 5,229. The benchmark fell as much as 1.5 percent at one point to a more than one-month low.

The tightening of U.S. presidential race in the last week has fueled uncertainty, with some polls giving Republican runner Donald Trump a slight lead over Democrat Hillary Clinton.

The Fed is expected to keep interest rates unchanged on Wednesday, but a strong negative market reaction to the Nov. 8 election result could rattle bets that the Fed will hike rates in December.

The financial index .AXFJ fell for the fifth time in six sessions, taking its losses for period to about 4.2 percent.

The "Big Four" banks declined between 1.4 percent and 0.8 percent, while Australia's biggest investment bank Macquarie Group (MQG) touched a one-month low and fell 1.9 percent.

Investors will also be looking for Australia and New Zealand Banking Group's (ANZ) full-year earnings due on Thursday for clues on the health of financial sector. ANZ shares fell 1.3 percent.

Oil stocks also weighed on the market after crude prices fell for a fourth day, as jittery investors awaited official U.S. stockpile figures later in the day. [O/R]

New Zealand's benchmark S&P/NZX 50 index (nz50) fell 1.1 percent, or 76.74 points, to finish at 6,853.75. The benchmark hit a four-month low during the session.

Data showing the country's jobless rate dropped to near eight-year lows last quarter did little to turn the market around.

Healthcare and telecom stocks drove the losses, with Ryman Healthcare (RYM) and Trade Me Group (TME) each dropping more than 3 percent.