The New Zealand Dollar fell to 10-day lows against the currencies of the United States and Japan, and to a three-week low against the EURO, and further moves lower are thought likely.
By 8am the NZ dollar was buying US62.93c, having dipped below US62.80c earlier today from US63.79c at 5pm yesterday.
The US dollar rose against major currencies after bleak US jobs data renewed concerns about the economy and enhanced the greenback's safe-haven appeal.
US Treasury bonds rose in price and stocks fell sharply after a government report showed US employers cut 467,000 jobs in June, far more than expected, while the national unemployment rate rose to 9.5 percent.
The data raised investor risk aversion, which also pushed the Yen higher and drove down higher-yielding, commodity-linked currencies such as the NZ and Australian dollars.
In its morning brief, ANZ said that as expected downside support levels for the NZ dollar were tested and eventually broken during overnight trading.
With the US heading into its Fourth of July long weekend, liquidity in currency markets would be light until the US market opened against next week.
That meant the NZ dollar was vulnerable to more volatility, ANZ said.
"With large speculative long positions still in the NZD, further big figure moves lower could trigger off stop losses, causing further moves lower and a mad rush through the exit door."
At the local open today the NZ dollar was down to 60.35 yen from 61.60 at 5pm, and down to 0.4495 euro from 0.4517.
Against the Australian dollar, the kiwi dropped to a 2-1/2-week low around A78.70c, improving to A79.18c by 8am, from A79.30c at 5pm. The trade weighted index fell to 59.59 at 8am from 60.16 at 5pm.