The New Zealand dollar weakened against the other major currencies in the Asian session on Thursday after the Reserve Bank of New Zealand's Monetary Policy Board decided to hold its Official Cash Rate steady.

The board elected to hold its Official Cash Rate steady at 3.50 percent - in line with expectations.

It was the sixth straight month with no change for the RBNZ, which had hiked the OCR by 25 basis points in each of previous four meetings prior to September.

The board also pointed to the easing NZ dollar, adding that further depreciation is to be expected.

The bank also cited several factors for taking its time in taking any further actions, including weak global inflation, declines in international oil prices and the high exchange rate.

"The timing of future adjustments in the OCR will depend on how inflationary pressures evolve in both the non-traded and traded sectors. It would be appropriate to lower the OCR if demand weakens, and wage and price-setting outcomes settle at levels lower than is consistent with the inflation target," the bank said.

Meanwhile, data from the Statistics New Zealand showed that the total number of building permits issued in New Zealand advanced a seasonally adjusted 11.0 percent on month in March, standing at 2,271, a nine-year high. That topped forecasts for an increase of 2.0 percent following the 6.3 percent contraction in February.

Wednesday, the NZ dollar showed mixed trading against its majors rivals. While the NZ dollar rose against the U.S. dollar and the Yen, it fell against the U.S. dollar and the yen. In the Asian trading today, the NZ dollar fell to 3-day lows of 0.7592 against the U.S. dollar and 90.40 against the yen, from yesterday's closing quotes of 0.7677 and 91.36, respectively. If the kiwi extends its downtrend, it is likely to find support around 0.72 against the greenback and 83.50 against the yen.

Against the euro and the Australian dollar , the kiwi dropped to more than 1-1/2-month lows of 1.4639 and 1.0518 from yesterday's closing quotes of 1.4471 and 1.0408, respectively. The kiwi may test support near 1.59 against the euro and 1.07 against the aussie.

Looking ahead, Japan construction orders and housing starts for March is due to be released at 1:00 am ET. In the European session, German retail sales for March and unemployment rate for April, Swiss KOF leading indicator for April and Eurozone CPI for April and unemployment rate for March are slated for release.

In the New York session, Canada GDP for February, U.S. weekly jobless claims for the week ended April 25, U.S. personal income and spending data for March are set to be published.

At 8:30 am ET, Federal Reserve Governor Daniel Tarullo will deliver a speech titled "Tailoring Community Bank Regulation and Supervision" at the Independent Community Bankers of America Policy Summit, in Washington DC.

At 10:30 am ET, BOC Governor Stephen Poloz will testify, along with Senior Deputy Governor Carolyn Wilkins, before the Senate Finance Committee, in Ottawa.

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