The New Zealand dollar rose to a record high against the euro after European Central Bank president Mario Draghi provided investors with assurances but no immediate action to curb the region's debt crisis.
The kiwi rose as high as 66.66 euro cents, the highest since the single currency entered circulation in 2002.
It traded at 66.41 cents at 8am up from 66.02 cents at 5pm on Thursday.
The kiwi initially jumped as high as 81.71 US cents overnight, before shedding gains to trade at 80.91 cents, unchanged from Thursday.
ECB officials are working on plans to buy bonds to help ease the euro-zone fiscal crisis, Dr Draghi told reporters in Frankfurt.
Details of the plan will be released in coming weeks. Investors were expecting Dr Draghi to announce new measures to protect the regional economic union after last week's pledge to do "whatever it takes" to preserve the euro.
Stocks on both sides of the Atlantic fell following the announcement.
"The euro got smashed against all the commodity currencies," said Stuart Ive, currency strategist at HiFX.
"That looks unlikely to change in the near future with one band-aid being put on top of another" in the EU.
The New Zealand dollar increased to 77.36 Australian cents from 77.14 cents on Thursday and declined to 63.28 yen from 63.48 yen.
The trade weighted index advanced to 73.14 from 73.