The US dollar index has fallen, with the greenback weakening against most Group of Ten currencies, while the Japanese yen has edged higher.

The US dollar index declined 0.2% to 1,203.01, extending its losing streak this week.

US Treasury bonds were steady after the Treasury Department maintained its debt issuance guidance unchanged.

Oil prices fluctuated as traders expressed cautious optimism over a potential agreement between the United States and Iran to restore navigation through the Strait of Hormuz.

The USD/JPY pair fell 0.1% to 157.66, retracing some of Tuesday's gains. Japanese Finance Minister Satsuki Katayama stated that US Treasury Secretary Scott Bessent believes Japan's fiscal condition is improving. This followed Bessent's series of interviews conducted after Washington took action last week to support Tokyo in bolstering the yen.

The NZD/USD pair slipped 0.1% to 0.5890. New Zealand bond yields also declined, as second-quarter employment data released on Wednesday indicated that the country's labor market remains weak.

The USD/CAD pair fell 0.4% to 1.4009. The EUR/USD pair rose 0.2% to 1.1556. The GBP/USD pair gained 0.1% to 1.3469.