The dollar rose on Wednesday, riding a global equities rally that helped reassure investors along with signs that governments in China and Japan were readying fresh economic stimulus.
The stocks rally, which pivoted on Wall Street to steep losses in late trading, sapped demand for the yen and euro that had benefited after China's surprise currency devaluation last month.
The yen's losses topped 1 percent against the dollar after Japan's Nikkei soared 7.7 percent. It was the biggest single-day gain for Japan's benchmark stocks index in nearly seven years and came after Prime Minister Shinto Abe raised hopes of more fiscal stimulus by his government.
In China, the Finance Ministry said it would strengthen fiscal policy, boost infrastructure spending and speed up tax reform, helping lift Chinese shares for a second day.
Prospects for government fiscal stimulus set the stage for a 1.4 percent rally in European stocks, while Wall Street was up most of Wednesday before turning down in late trading, dominated by drops in Apple and energy shares.