The dollar fell to the weakest level in more than five months versus a basket of peers after several Federal Reserve policy makers said projections for an interest- rate rise were overstated in minutes from its last meeting.
The Australian and New Zealand currencies advanced after data showed home-loan approvals increased at a faster pace than estimated in the larger nation. The dollar snapped a three-day slide versus the yen.
The euro gained against 12 of its 16 major counterparts as European Central Bank policy makers signaled deflation risks are contained, subduing speculation of a round of bond-buying to boost prices and economic growth.
Currencies of three major commodity-producing nations including Australia rose to the highest level in five months amid speculation China will add monetary stimulus, boosting demand for energy and materials.
The euro fell to a three-week low against the pound on speculation the European Central Bank will ease monetary policy while above-target U.K. retail sales data added to bets the Bank of England will increase interest rates.