Dollar Strengthens as Fed Holds Rates Steady

The dollar gained against major currencies on Wednesday after the Federal Reserve held interest rates steady, a decision marked by the deepest internal split in more than three decades.

The 8-to-4 vote was the Fed's most divided since 1992, signaling the difficulty incoming Chair Kevin Warsh will face in delivering rate cuts. Current Chair Jerome Powell's term ends May 15.

Geopolitical tension continues to loom large with the U.S.-Israel conflict against Iran showing no signs of easing.

The euro slipped 0.29 percent to $1.1679, while sterling fell 0.31 percent to $1.34765.