The New Zealand dollar surged after the Reserve Bank of New Zealand implemented a 25-basis-point rate cut, which traders interpreted as a potential end to the easing cycle. This move has bolstered the NZD as market participants adjust their expectations for future monetary policy. Meanwhile, the Australian dollar gained strength following stronger-than-expected CPI data, which has reignited discussions about possible rate hikes by the Reserve Bank of Australia. Additionally, U.S. equities advanced, enhancing risk-on sentiment and supporting high-beta currencies like the NZD and AUD. Traders are also closely monitoring the People's Bank of China's USD/CNY reference rate, with a projected fix near 7.0825.