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The dollar was generally weaker Wednesday morning in New York, coming under pressure versus the sterling amid evidence of dissension on interest rates within the Bank of England's voting members.
The buck also fell further versus its Canadian counterpart on speculation the economy north of the border is primed to withstand a possible double-dip recession in the US.
Industry data released this morning signaled that extraordinarily low interest rates are not pushing potential buyers back into the housing market. Instead, current owners are taking advantage of the rates to refinance their existing mortgages.
The Mortgage Bankers Association said refinancing activity increased 17.1 percent from the previous week, the biggest jump since May 2009.
However, the MBA's seasonally adjusted purchase Index decreased 3.4 percent from one week earlier.
The dollar slumped nearly two cents to 1.5665 against the sterling after touching a 4-week high of 1.5497.
Policy makers of the Bank of England were not unanimous in holding interest rate at a historic low in August, the minutes of the meeting showed Wednesday. For the third straight month, Andrew Sentance was the lone member arguing for a rate hike.
Versus the euro, the dollar eased a bit to 1.2900, having shown little direction over the past week since rallying earlier this month.
The buck was steady versus the yen at Y85.50, holding near a 1995 low of 84.71.
The buck has been hammered by Canada's loonie this week, and fell furthering early dealing this morning to a 9-day low of C$1.0278.
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