Josh Hazlewood (5-31) went on a tear, removing four of the top five Black Caps either side of lunch to send the home side into a spiral at eight down for 107.
Some late swashbuckling from Tim Southee and Matt Henry added a handy 55 and saved New Zealand’s blushes but a first innings 162 was a poor show on a good wicket.
But again Tim Southee’s men rallied. Smart, sharp bowling by Matt Henry led the way. He collected the key wickets of Khawaja (16), Green (25) and Head (21) while debutant Ben Sears got things started by extracting Steve Smith for 11.
It left Australia wobbling at 124-4 but with only 39 runs to run down tomorrow and build a lead. They have Marnus Labuschagne (45 not out) and Nathan Lyon (1 not out) poised to do just that tomorrow.
Hang around for the match report coming imminently and tune in to our coverage tomorrow where Rob Smyth and Martin Pegan will steer you through the action. Over and out!