Dollar firms versus euro

The dollar held steady against the euro and yen on Tuesday as strong demand for the U.S. currency to settle financial needs outweighed signs of receding risk worries such as rising share prices and falling interbank lending rates. The dollar got a boost from Federal Reserve Chairman Ben Bernanke's testimony before Congress on Monday endorsing more government spending to stimulate the U.S. economy, even if such a move could worsen the already huge U.S. budget deficit and weigh on the dollar long-term.

The dollar eased 0.1 percent against the yen to 101.76 yen, slipping from an earlier high of 102.16 yen.
The euro eased 0.1 percent to $1.3329. The euro fell 0.4 percent to 135.50 yen, after rising as high as 138.57 yen on Monday.

The Aussie extended losses, falling 1.1 percent against the yen on expectations for more rate cuts by the Reserve Bank of Australia, as well as profit-taking.