Any dollar bounce is likely to be limited in the near term, given lingering concerns over U.S. political risks, said Shinichiro Kadota, senior FX strategist for Barclays in Tokyo.
"It's not as if the driver for the broad direction of dollar weakness has gone away. I don't think the dollar will keep rising persistently from here," Kadota said.
Jared Kushner, Trump's son-in-law and senior advisor, told Senate investigators on Monday he had met with Russian officials four times last year but said he did not collude with Moscow to influence the 2016 U.S. election.
The ongoing probes into the Russia matter by congressional panels and a Justice Department special counsel, as well as reduced inflation expectations, have weighed on the dollar for much of the month.
Market participants say the investigations have been one factor slowing progress on pushing through Trump's pro-growth agenda of tax cuts and infrastructure spending.
Against the yen, the dollar eased slightly to 111.07 yen. On Monday, the dollar slipped as low as 110.625 yen, its lowest level since mid-June.