** Australian miners .AXMM fall as much as 1.8% in their biggest intraday pct loss since June 30

** Sub-index, however, on track for a fifth straight weekly gain, up 4.3%

** Iron ore prices closed lower overnight, pressured by increasing supply from top miners Vale and Fortescue and higher steel inventories at Chinese mills IRONORE/

** Global mining giants BHP BHP.AX and Rio Tinto RIO.AX both drop 1.9% on Friday, while Fortescue FMG.AX plunges 3.2%

** YTD, AXMM up 8.7%

(Reporting by Nichiket Sunil in Bengaluru)

((Nichiket.Sunil@thomsonreuters.com))