The U.S. dollar hunkered near its lowest since February 2022 against major peers on Wednesday, as traders considered dovish hints from Federal Reserve Chair Jerome Powell, along with the potential impact of President Donald Trump's spending bill.

The Republican package would slash taxes, boost spending on immigration enforcement and the military, and impose steep cuts to Medicaid, SNAP and clean energy funding.

Republicans passed a mammoth tax and immigration agenda they hope will reshape the U.S. economy and unwind many of the Biden administration’s accomplishments.

Republicans in the U.S. House of Representatives advanced President Donald Trump's massive tax-cut and spending bill toward a final yes-or-no vote early on Thursday morning, appearing to overcome internal party divisions over its cost.