Aust bonds bounce back - 12th June 2014

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The Australian bond market is firmer after Wall Street stocks ended a four day rally.

"US Treasuries initially rallied, although gains were pared following the mildly disappointing Treasury auction result," ANZ economists said in a research note.

"Australian bond futures also rallied, outperforming US Treasuries."

At 0830 AEST on Thursday, the June 2014 10-year bond futures contract was trading at 96.185 (implying a yield of 3.815 per cent), up from 96.150 (3.850 per cent) on Wednesday.

The June 2014 three-year bond futures contract was at 97.145 (2.855 per cent), up from 97.115 (2.885 per cent).

Local jobs figures will be released on Thursday, with the unemployment rate forecast to rise to 5.9 per cent in May, while 10,000 new jobs are expected to have been added to the economy.

(AAP)