"The US is assuming the leadership position on growth matters, fiscal dominance and certainly vaccinations," said Mazen Issa, senior FX strategist at TD Securities in New York.
The dollar index was little changed on the day at 91.094, after earlier rising to 91.223. The euro dipped 0.19% to $1.2039.
The peso weakened 1.08% to 20.8 per US dollar on Wednesday after the Senate approved the bill on Tuesday evening.
The legislation, aimed at strengthening state utility CFE, has frayed market nerves amid criticism it is essentially an "indirect expropriation" that could elbow out private sector renewable energy providers.
If you do see volatility the natural inclination is to take risk off the table, in this case it just basically means getting out of existing positions and the dollar shorts are extremely elevated at this point.
Short US dollar positions were last at $29.33 billion, according to data by the Commodity Futures Trading Commission.
The lira weakened as far as 7.1840 and stood at 7.17 against the US currency at 1200 GMT, compared to a close of 7.11 on Tuesday.
"Some are sure that he will be appointed energy minister but Erdogan will decide. There are also those in the party that say this is not possible," the official told Reuters.