The dollar traded lower against a basket of currencies on Wednesday, as market participants braced for the release of the Federal Reserve’s latest meeting minutes. Investors are eager to glean insights into the Fed’s monetary policy outlook, particularly regarding the pace of future interest rate increases.

The minutes, from the central bank’s most recent policy meeting, are anticipated to shed light on the factors influencing policymakers’ decisions. Traders will be scrutinizing the document for any indications of a shift in the Fed’s stance, especially in light of recent economic data.

Currency analysts suggest that a hawkish tone in the minutes, signaling a commitment to aggressive rate hikes, could provide a boost to the dollar. Conversely, a more dovish message, suggesting a cautious approach, could weigh on the currency.