The New Zealand dollar fell 0.2% to as low as $0.5702 on Tuesday, marking a 2-1/2-month low and setting up a fifth consecutive session of declines.
The sell-off was driven by a broad-based surge in the US dollar, fueled by mounting market wagers on further US interest rate hikes.
The greenback's strength reflects a sharp shift in sentiment toward a more restrictive Federal Reserve policy path.
This repricing has pushed the US dollar to its highest level against the euro since March, creating headwinds for commodity-linked currencies across the Asia-Pacific region.
The Australian dollar also faced pressure, though it found some support from easing geopolitical tensions following the conclusion of US-Iran talks.
However, the dominant market narrative remains focused on the divergence in monetary policy expectations, with traders increasingly pricing in a hawkish stance from the Fed.