Employment fell by a staggering 594,300 in April, above already grim forecasts of a 575,000 drop. Investors were surprised by the 6.2% rise in the jobless rate, when analysts had tipped 8.3%, but only because of quirks in the way unemployment is classified.

Without those, the jobless rate would have hit 9.6%. Analysts noted that total hours worked dived a record 9% in the month, pointing to a steep fall in economic output.

The bond market remained upbeat following a very strong sale of new debt on Wednesday, with the 10-year future rising 5 ticks to 99.1100. The record sale of A$19 billion ($12.26 billion) in a 2030 bond drew a A$53.5 billion mountain of bids. Of the total sold, 38% went to banks and almost 37% to fund managers, with nearly 20% taken by hedge funds pointing to solid interest from offshore.

Across the Tasman, the New Zealand dollar was nursing a few bruises at $0.5986 after shedding 1.3% on Wednesday when the Reserve Bank of New Zealand (RBNZ) flagged the risk of negative interest rates.

Copyright Reuters, 2020