With the Fed stopping, and policy elsewhere in Europe and Japan going in the opposite direction, it should be relatively positive for the euro and yen, said Harvinder Kalirai, head of research and analysis in Sydney at State Street Corp, the worlds largest custodian of assets.
The US currency was at $1.2067 versus the euro in Tokyo, after dropping to $1.2082, the weakest since November 3 and from $1.2018 in New York on Tuesday.
The dollar traded at 115.74 yen from 116.17 yen. It declined to 115.60 yen, the lowest since December 19. The euro will fetch around $1.25 by the middle of the year, Mr Kalirai said.
Fed policy makers views differed on how much further tightening might be required, the minutes said.
The measured phrasing was retained to avoid any suggestion of bigger rate increases, the ECB said. Investors are still pricing in a quarter-percentage point rise in the target rate for overnight lending between banks to 4.50% at the Feds January 31 meeting.