The dollar dipped for a second day as traders booked profits ahead of a batch of U.S. data later in the day.
The dollar took a breather from its run since the November 8 U.S. presidential election.
The dollar was boosted by Fed comments that kept alive market expectations for a faster pace of U.S. interest rate hikes next year.
The yen jumped on Monday on safehaven bids following news the Russian ambassador to Turkey was gunned down in the Turkish capital.
The dollar edged higher on Friday, holding near 14-year highs touched after Wednesday's Federal Reserve meeting.
David Hauner, head of cross-asset strategy product for EEMEA at Bank of America Merrill Lynch, discusses favorable trades on emerging market currencies.
The dollar surged to its highest level in 14 years on Thursday on anticipation of a more hawkish Federal Reserve.
The dollar hit a 10 month high against the yen of 116.45 after the Fed approved the first interest rate hike in a year.
Markets were still uneasy that a Fed meeting ending on Wednesday may provoke more investors to cash in the greenback's recent gains.
U.S. bond yields climbed on the back of expectations of broadly higher inflation, driven by a 5 percent rise in global oil prices.
The ECB's extension of its easing program drove the single currency to its biggest daily loss against the dollar since the Brexit vote.
The euro fell Thursday as the European Central Bank announced an extension of its quantitative easing programme.
The euro gained slightly on the dollar on Wednesday as investors focused on Thursday's European Central Bank meeting.
Bets on market volatility stayed close to their highest since June's Brexit vote ahead of this week's European Central Bank meeting.
The euro recovered from against the dollar after Renzi's loss in a referendum over constitutional reform was seen as largely expected.
The dollar fell Friday after posting gains the last three weeks as a solid, but not spectacular, U.S. payrolls report spurred doubts.
The dollar on Thursday lost ground as traders booked gains following a solid November and caution ahead of Friday's payrolls report.
The U.S. hit highs on Wednesday and after a surge in oil prices pushed U.S. Treasury yields higher.
The dollar fell on Tuesday as the greenback consolidated its position against most major currencies following a roller-coaster 24 hours
The dollar edged down on Monday, surrendering some gains after a sharp rally that followed Trump's surprise victory.