Since the hike, the dollar has weakened against major currencies as traders reduced their long positions on the greenback, analysts said.
The dollar index, which gauges the greenback's value against a group of six currencies, was 0.35 percent lower at 97.99, putting it on track for a weekly loss of 0.75 percent. On the month, it has fallen 2.2 percent, which would be biggest drop since April.
The dollar hit a near two-month low against the yen. It was last down 0.5 percent at 120.28 yen.
The euro rose 0.36 percent against the dollar to $1.0952, but dipped 0.17 percent to 131.73 yen.
A rebound in oil prices from 11-year lows boosted the currencies of oil exporters such as Canada and Norway.
The Canadian dollar edged up 0.01 percent at C$1.385, while the Norwegian crown climbed 0.28 percent to 8.69 crowns per U.S. dollar.
The Australian and New Zealand dollars also got a boost following a brutal late-year sell-off of oil and other commodities. They were up around half a percent at $0.7275 and $0.6839, respectively.
Sterling was up 0.3 percent at $1.4922 after British data showed banks approved 20 percent more mortgages in November than a year ago.