The greenback muted on Tuesday as the yen fell following the BOJ’s decision to stick with its dovish stance at its most recent meeting to set policy.

The dollar index that gauges the greenback versus its major pairs steadied at 102.190, having recovered from the lowest level touched in four months.

After experiencing severe recent losses, the dollar has recently stabilized as slew of Fed officials try to temper projections of further rate cuts in 2019 following the U.S. central bank's most recent policy meeting.

EUR/USD added 0.2% to 1.0942, post the announcement of inflation figures.

GBP/USD advanced by 0.4% to 1.2691, rate reductions are looking further off, as the UK's inflation figures, which is scheduled for release on Wednesday, is still expected to be significantly higher than BOE’s target of 2%.

USD/JPY edged up by1.3% at 144.59, following BOJ’s decision to maintain negative interest rates and provide no indications regarding when it will start to tighten policy.