The Japanese yen advanced broadly as investors took profits in the euro and higher-yielders after Monday's strong gains.
Relief over the aid package for Greece has given way to caution once again, as markets questioned how Athens would manage its debt burden longer term and whether it would tap the bailout fund.
Euro zone finance ministers approved a 30 billion euro ($40.5 billion) rescue package of loans, which Greece could tap if needed. At least 10 billion euros are also expected from the International Monetary Fund.
The euro traded around $1.3590, well below a high of $1.3691 struck in the previous session.
Euro retreated 0.3% to 126.1 yen, versus Monday's peak of 127.28 yen.
The greenback lost ground to the yen, with the pair trading 0.5% lower at 92.76 yen.
The Australian dollar also declined 0.5% to 85.80 yen.
Markets are watching Greece's Treasury bill auction today, its first since the announcement of the EU-IMF rescue plan, to gauge investors' appetite for its debt.
Investors also continues to keep an eye comments related to the yuan, after after China's official Xinhua news agency reported that Beijing would firmly stick to its own path on reforming its currency's exchange rate.
Oil slipped for a fifth consecutive session as investors were concerned about rising crude stock piles.
Crude futures fell 0.2% to $84.10 a barrel in afternoon trade.
U.S. weekly crude inventories are forecast to rise for an 11th straight week.
The API and EIA reports are due out later tonight and on Wednesday.
Analysts said that Thursday's China's GDP data could lend support to oil prices.
Gold edged lower 0.2% as investors grew wary after the yellow metal's rally to a 4-month peak of $1,168 an ounce on Monday.
Gold's dip weighed on platinum and palladium. Both metals retreated from Monday's multi-month highs.
