The dollar fell as minutes from the Federal Reserve’s latest meeting showed officials discussed how the strong U.S. currency was damping inflation and exports.

The greenback slumped versus all but one of its 16 major peers as the release from the Sept. 16-17 gathering noted that the dollar has “strongly appreciated” against emerging-market counterparts and climbed versus currencies of commodity exporters and the main U.S. trading partners. The Fed held rates near zero last month after slowing Chinese growth roiled global markets in August.

An appreciating dollar tends to restrain the U.S. economy by making American products more expensive abroad, while keeping down inflation by making imports less costly.

The dollar fell 0.4 percent to $1.1277 per euro as of 3:28 p.m. in New York. The Bloomberg Dollar Spot Index, which tracks the currency versus 10 of its major peers, lost 0.4 percent.

Money has flooded into dollar assets over the past 12 months in anticipation of the Fed’s first interest-rate increase in almost a decade. That’s boosted the central bank’s trade-weighted broad dollar index to its strongest since 2003.

Source: Bloomberg