DNS wildcard not working

Window 2003 R2

I have created a wild card dns record:

*         A            ipAddress

This should resolve any host that is entered in front of the domain name xyz.domain.com abc.domain.com etc.
The problem is this does not work.
If I do an nslookup it will resolve *.domain.com but not any other host names as stated in the examples above.

This is an Active directory integrated zone


If I create another zone, like test.local the wild card works as expected.

Any help would be greatly appreciated.

Mike