The New Zealand dollar fell against the greenback today as markets held back in anticipation of the Reserve Bank of Australia's interest rates announcement, due out at 5.30pm New Zealand time.

The RBA cut its benchmark interest rate 0.25 percentage points to 3.25 per cent in the face of a worsening outlook for the economy.

Just after 5pm, the kiwi traded at US82.79c, down from US82.90c in the morning, and gained to US82.85c after the announcement.

It was at 73.70 on the Trade Weighted Index, down from 73.91 earlier.

ASB Institutional head of institutional FX sales Tim Kelleher said it was a very quiet day for the kiwi.

"Obviously everyone is just waiting for the RBA at 5.30pm. The euro only moved about 10 to 15 points, there was a slight bit of profit taking on the kiwi-aussie cross but the market is all focused on the RBA," Kelleher said.

"The market seems to think the RBA will cut rates which would see the kiwi-aussie cross higher."

The kiwi was at 79.85 Australian cents at 5pm, up from A79.81c at 8am, before jumping to A80.31c after the announcement.

On the crosses, the kiwi was at 64.19 euro cents, down from 64.23 euro cents earlier. It was at 51.31 pence, down from 51.35 pence earlier. It was at 64.66 Japanese yen, up from 64.65 yen in the morning.

Kelleher said that depending on what the RBA came out with, the kiwi could trade between US82.50c and US83.23c overnight.

- © Fairfax NZ News