The dollar slumped versus the yen on Wednesday as the rebound in global equities cooled by midday and weighed on investors' risk appetite.
The dollar lost 0.4 percent to 109.155.
The dollar index traded at 89.530, after touching a two-week high of 90.034 overnight.
The euro inched up 0.1 percent to $1.2391 after dipping to a two-week trough of $1.2314 in the previous session.
Sterling was unchanged at $1.3951 after scaling a low of $1.3838 overnight, its weakest level since Jan. 19.
The Australian dollar dipped 0.5 percent to $0.7868.