The New Zealand dollar has been pushed higher by the almost certain prospect of a hike in interest rates in April.
The kiwi jumped 0.5 cents against the US dollar, and just 0.5 cents against the Australian dollar, immediately after the Reserve Bank's announcement on Thursday morning.
At about 5pm, the kiwi was trading at 81.32 US cents, 1 cent higher than at that time on Wednesday.
It's also 1 cent higher against the Australian, buying 87.80 Australian cents.
Westpac market strategist Imre Speizer says higher interest rates make the dollar a more attractive investment, and it's likely to hit over 82 US cents in the next few days.
He's expecting the kiwi to reach around 85 US cents by the middle of next year, but it could go higher than that in the medium term.
Mr Speizer says if the Federal Reserve announces a winding down of its money printing programme next week, and does so in an aggressive fashion that has the potential to push up the US dollar and therefore cap the kiwi - US.
However he says they announce a more tepid winding down of their money printing programme then it would allow the kiwi - US to rise quite a bit higher in the medium term.
The New Zealand dollar also gained nearly half a euro to 61.05 euro but was only marginally higher at 51.36 British pence and 80.89 yen.
The share market was little changed, the benchmark Top 50 index eking out a 7 point gain to 4641.
Tyndall Investment Management equities manager Rickey Ward says the market is awaiting key offshore events, primarily the situation in Syria and whether the Federal Reserve will taper further bond purchases in the US market.
Tyndall manages about $500 million in equities.
Diligent shares rose 8 cents to $5.91 on Thursday and they have risen from as low as $4.20 late last month.
Mr Ward says it's probably an emotional reaction from investors after concerns about its governance structure, investors are indicating they believe the company only has a few reporting issues but that it's not fundamentally broken.
Sky City shares fell 4 cents to $3.93.
Mr Ward says investors continue to challenge the company's view on the benefits of the national convention centre in Auckland and the Adelaide expansion.
