Republican candidate Donald Trump leads Democratic candidate Hillary Clinton in key states as his party appears poised to retain control of the House of Representatives.
The dollar fell 0.25 percent against the British pound to 0.8054 as of 0300GMT.
The greenback lost 0.85 percent against the euro to 0.8992, 0.10 percent against the Chinese yuan to 6.7781, and 2.2 percent against the Japanese yen to 102.87.
A Trump presidency is perceived to create more uncertainty for world markets, compared to Clinton, according to analysts.
The Mexican peso, however, dived around 10 percent to its all-time low against the dollar amid worries U.S.-Mexico trade relations would take a downturn.
Futures on Wall Street also decreased after the stock market prepared for a Clinton victory and posted gains in the last two days.
Dow futures plunged 750 points, or 3.3 percent.
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The U.S. dollar climbed against most major currencies on Tuesday as investors were awaiting the outcome of the U.S. presidential election.
The greenback rallied in the previous session after the Federal Bureau of Investigation (FBI) again cleared Democratic presidential nominee Hillary Clinton over her use of a private email server
FBI Director James Comey on Sunday informed U.S. House members that the FBI has not changed its July advice not to charge Clinton over her use of personal email server during her stay in the State Department.
The news continued to boost Clinton` s campaign on Tuesday` s U.S. presidential election, sending the greenback up nearly 0.2 percent during the session.
Analysts said investors in general view a Clinton victory as the better outcome, as it presents fewer unknowns and possibly more stability for markets than the winning of her Republican rival Donald Trump.
The dollar index, which tracks the greenback against six major peers, was up 0.14 percent to 97.920 in late trading.
In late New York trading, the euro fell to 1.1020 dollars from 1.1040 dollars, and the British pound dropped to 1.2393 dollars from 1.2397 dollars. The Australian dollar rose to 0.7747 dollars from 0.7718 dollars.
The dollar bought 105.05 Japanese yen, higher than 104.52 yen in the previous session. The dollar inched up to 0.9777 Swiss francs from 0.9751 Swiss francs, and it declined to 1.3326 Canadian dollars from 1.3370 Canadian dollars.
US dollar dips as Trump surges in presidential race
09 November 2016
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The dollar posted losses late Tuesday against a basket of major currencies as the outcome of the U.S. presidential election appears uncertain.
