The currency reacted only briefly to a Reserve Bank of New Zealand survey showing mean two-year ahead inflation expectations lifted to 1.93 per cent in the March quarter from 1.80 per cent in the December quarter.
Mean expectations for one-year ahead inflation rose to 1.88 per cent in the March quarter from 1.66 per cent in the December quarter.
RBNZ is charged with keeping inflation at about 2 per cent over the medium term but has mostly not been achieving that in recent years.
Inflation expectations used to be a key factor in the central bank's decisions on monetary policy but its chief economist Yuong Ha said last November that it puts less weight on the data any more, relying on a wider range of inflation data.
Mike Shirley, a dealer at Kiwibank, said the currency's trading range all day was only about 15 points and, in that context, it rose eight to 10 points immediately after the survey was released but almost as quickly retraced.
Fears about the coronavirus and its impact on economic activity have reduced somewhat, having faded into the background, he said.
"The shock factor has definitely fallen off and it's effectively priced in, unless things deteriorate on that front," Shirley said.
The latest news from China is that confirmed cases are approaching 32,000 and that deaths are at least 636, including the 34-year old doctor who tried to raise the alarm early on but was scolded for spreading "rumours."
Global ratings agency Standard & Poor's has estimated the coronavirus crisis will slow China's economic growth to 5 per cent in 2020 compared with its estimate before the outbreak of 5.7 per cent.
Shirley said the market's attention is now on the United States jobs numbers due later today.
According to MarketWatch, the US likely created 164,000 new jobs in January. It noted, however, that hiring has clearly slowed. The US added an average of 176,000 jobs a month in 2019 vs. 223,000 in 2018.
The New Zealand dollar was at 96.06 Australian cents from 95.84 yesterday, at 49.89 British pence from 49.84, at 58.79 euro cents from 58.85, at 70.96 yen from 71.10 and at 4.5065 Chinese yuan from 4.5096.
While the currency continued trading yesterday, domestic interest rate markets were closed. The two-year swap rate rose to a bid price of 1.1367 per cent from 1.1308 on Wednesday while 10-year swaps were at 1.4800 per cent from 1.4725.