NZ Dollar Falls After RBNZ Holds Official Cash Rate Steady

The New Zealand dollar weakened against the other major currencies in the Asian session on Thursday, after the Reserve Bank of New Zealand maintained its Official Cash Rate at a record low.

The Reserve Bank of New Zealand maintained its Official Cash Rate at the record low of 1.75 percent. The decision was in line with expectations following a rate cut in November. Following no move in September, the central bank trimmed its benchmark by 25 basis points in August after holding fire for three straight months.

"Monetary policy will remain accommodative for a considerable period. Numerous uncertainties remain, particularly in respect of the international outlook, and policy may need to adjust accordingly," RBNZ Governor Graeme Wheeler said.

Wednesday, the NZ dollar showed mixed trading against its major rivals. While the kiwi rose against the Australian dollar, it fell against the U.S. dollar, the yen and the euro.

In the Asian trading, the NZ dollar rose to 0.7025 against the U.S. dollar and 78.20 against the yen, from yesterday's closing quotes of 0.7044 and 78.27, respectively and held steady thereafter.

Against the euro and the Australian dollar, the kiwi advanced to 1.5352 and 1.0870 from yesterday's closing quotes of 1.5327 and 1.0898, respectively and held steady thereafter.

Looking ahead, German GfK consumer confidence index for April and U.K. retail sales data for February are due to be released at 3:00 am ET.

At 5:00 am ET, European Central Bank is scheduled to publish its economic bulletin.

At 5:15 am ET, Bank of England Deputy Governor Ben Broadbent is expected to speak at Imperial College, in London.

In the New York session, U.S. weekly jobless claims for the week ended March 18, U.S. new home sales data for February and Eurozone consumer confidence index for March are slated for release.

At 8:45 am ET, Federal Reserve Chair Janet Yellen will deliver opening remarks at the Federal Reserve System Community Development Research Conference, in Washington DC.

At 12:30 pm ET, Federal Reserve Bank of Minneapolis President Neel Kashkari is expected to speak about the US education outcomes and achievement gaps at the Federal Reserve System Community Development Research Conference, in Washington DC.

At 1:00 pm ET, Swiss National Bank Governing Board Member Andrea Maechler will deliver a speech titled "The SNB Investment Policy and its Peculiarities" at the Money Market Event, in Zurich.