On May 28, the single currency euro bounced off two-year lows after Greek conservatives topped opinion polls ahead of another general election to trigger covering of massive short positions on hopes Athens could agree to austerity steps and remain in the euro.
A conservative victory on June 17 may raise the odds that Athens would stay in the euro club, expectations that saw the single currency jump 0.6 percent to $1.2588, pulling away from Friday's $1.2495, its lowest level since July 2010.
"Greek polls are certainly giving some respite to the euro, but we're still not even back to $1.26 and Spain looms large with its problems, so I wouldn't get overly excited about this rally," said Koji Fukaya, director of global foreign exchange research for Credit Suisse Securities in Tokyo.
"Heading into the Greek elections we'll fluctuate a lot. Because the market is very, very short euro, reactions to any positive news may be bigger than those to negative news," said Mitul Kotecha of Credit Agricole Corporate and Investment Bank.
"That said, even if we get some good news from Greece, the weight of bad news elsewhere is likely to keep any bounce in the euro short-lived," he said.
The dollar also lost 0.3 percent against the yen, while the Australian dollar gained 0.9 percent to $0.9850, compared with around $0.9765 in late local trade on Friday.