Osamu Takashima, head of G10 FX strategy at Citigroup Global Markets Japan in Tokyo, said that he remained bearish on the dollar, with dollar assets looking "expensive".
Against a basket of currencies the dollar index hit a fresh 2-1/2 year low on Wednesday before firming about 0.1% to 89.575. The benchmark 10-year Treasury yields rose above 1% for the first time since March.
"The rupiah may continue its outperformance the global hunt for yields should drive more inflows into its bond markets which would be a major supportive element for the Indonesian currency," Tan added.
At the close of trade, the Hang Seng index was up 578.62 points, or 2.18%, at 27,147.11, its highest close since Feb. 21. The Hang Seng China Enterprises index rose 2.05% to 10,662.93.
The dollar slumped to multi-year lows against many currencies as traders looked past a new delay in US stimulus checks and maintained bets additional financial aid was still likely.
Few expect betting against the dollar, however, to be a one-way street. Signs that the Fed may tighten monetary policy earlier than expected could also boost the greenback, analysts said.