The US dollar traded depreciated against most major currencies after benefiting from the actions of US President Donald Trump which halted negotiations on a new fiscal stimulus.
Trump's surprise move has prompted a massive sell-off in the Wall Street market as investors prepare to face the risk of a new downturn in the wake of the faltering US economy.
However, the market calmed down after the president later urged Congress to approve new support assistance to American airlines and small businesses.
This has led to an increase in market sentiment during the Asian session and US stock futures also returned positive.
However, according to analysts, uncertainty about the stimulus package will continue to push investors to trade risky currencies with caution.
At the beginning of the European session, the greenback traded lower at 93.77 against a basket of major currencies.
Meanwhile, market focus is now on the publication of minutes of the Federal Reserve (Fed) meeting minutes for the September session policy meeting to seek further guidance on the central bank's views on US economic prospects.
