The New Zealand dollar is the big gainer after the RBNZ signaled that it isn't looking to cut rates further for now
The rate forecasts were the biggest takeaway as the RBNZ hinted that they are done with cutting rates for now, unless the coronavirus outbreak threatens the domestic and global economy more profoundly than currently anticipated by the central bank.
That sparked a surge higher in the kiwi, with NZD/USD rising to 0.6477 on the headlines before settling just under that level ahead of European trading now.
The jump in the kiwi also helped to underpin the aussie a little, with the currency squeezing in mild gains against the rest of the major bloc - also helped by the more positive risk mood as the market continues to brush aside virus fears.
The rest of the major currencies bloc remains little changed, with dollar pairs keeping within 0.1% of one another. EUR/USD continues to flirt with a potential firm drop below 1.0900 while USD/JPY upside is still limited around 110.00 for now.
The overall risk mood is slightly more optimistic as we see the new coronavirus cases in China fall for a second day. However, just be aware of the change in classification as that may be playing a part in distorting the figures a little.
Looking ahead, the major focus remains on risk so look towards any significant moves in the equities and bond markets to drive directional moves in currencies today.
