The British pound could be showing signs of a false dawn, according to currency analysts, who suggest that a recent rally could soon give way to more bouts of heavy selling.
The dollar spiked against the Turkish lira after gunfire was heard in the capital of Ankara on Friday.
The Bank of England surprised market by holding fire on post-referendum rate cut.
The dollar falls while the Bank of Canada announced that it will hold interest rates.
The dollar eased slightly against the yen on Wednesday, but remained close to 2-1/2-week highs.
The yen fell against the dollar after the Japanese ruling coalition's victory boosted hopes for more monetary stimulus.
The dollar traded in a back-and-forth range after the U.S. June jobs report easily beat expectations.
Sterling rebounded on Thursday after falling two straight days.
The safe-haven yen hit a 3-1/2 year high against sterling on fears about the impact of Brexit.
The Japanese yen rose almost 1 percent against the euro and dollar while sterling fell to new long-term lows.
The Aussie recovered from a wobbly start as commodities rose on expectations that central banks are likely to provide more stimulus.
The Bank of Israel bought "hundreds of millions" of dollars of foreign currency, dealers said, after the shekel continued to strengthen.
The U.S. dollar tumbled against the safe-haven yen Friday amid uncertainty over the fallout from Britain's vote to exit the EU.
The British pound traded more than 1 percent lower after Mark Carney, the head of the Bank of England, made remarks about the U.K. economy following the Brexit vote.
The euro and sterling spiked higher, as markets regained some appetite for risk.
The U.S. dollar fell against the British pound and the euro as the market took a breather and potential profit-taking.
Sterling fell to a 31-year low against the dollar as a sell-off stemming from Britain's decision to quit the EU gathered pace.
Bilal Hafeez, head of global G10 FX strategy at Nomura, says the pound has moved down 10 percent, while safe-haven currencies have rallied.
Sterling hit a 2016 high and the euro surged against the dollar and yen after a series of late opinion polls favored Britain staying.
If the U.K. voted to exit the EU, currency traders would likely dump the pound and send funds into the dollar, FX pros said.