Australian shares dipped on Friday, dragged down by heavyweight financials and miners, while investors refrained from placing big bets as a stronger-than-expected local jobs data fuelled worries around a possible delay in interest rate cuts.

The S&P/ASX 200 index was down 0.2% at 7,764.9 points by 1200 GMT.

Still, the benchmark index was on track for its best week since early February.

Data from the Australian Bureau of Statistics on Thursday showed that net employments sharply rebounded last month, compared with January levels - the biggest monthly gain in 10 months, barring distortions caused by pandemic.

Jobless rate in Australia dipped below analysts’ forecasts while markets cut interest rate cut bets by the central bank to 37 basis points for the year from 44 bps.

Financials were the biggest drag on the bourse, shedding 0.5% in its worst session in a week, if losses hold.

Three of the “Big Four” banks were trading in the red, while shares of ANZ Group were flat. Miners dipped 0.1%, though set for a 3.4% weekly jump, its best since late January.

Whereas, BHP Group and Rio Tinto rose 0.3% and 0.5%, respectively.

Australian shares rise on Fed rate-cut optimism; NZ in technical recession

Energy stocks fell 1.1%, tracking a slump in oil prices from weaker US gasoline demand print and reports of a UN draft resolution for ceasefire in Gaza.

The energy sub-index was set for its best week in seven. Sector majors Woodside Energy dropped 1% and Santos lost 0.7%.

Gold stocks fell 1.4% as the yellow metal retreated from its record-high levels.

Northern Star Resources lost 0.6% and Evolution Mining shed 1.2%.

New Zealand’s benchmark S&P/NZX 50 index rose 0.6% to a nearly eight-month high at 11,990.47 points.

The benchmark is on track for its best week in 4-1/2 months, with a weekly gain of nearly 2%.