"I think the dollar's still in a strengthening period. We've seen quite a bit of profit-taking in the past 24 hours, particularly against the yen but I think it will be short-lived," said Adam Myers, foreign exchange strategist at Societe Generale in London.
Greenspan speaks publicly for a second time this week at 0930 EDT when he testifies on regulatory reform of government-sponsored enterprises before the Senate Banking Committee.
"The reforms will encourage more foreign investment into (U.S.) agency debt, we think, so you could get a positive run on the dollar following his comments," Myers said.
By 0330 EDT, the euro fetched around $1.2875, up slightly from late New York trade. It hit a two-month low just below $1.2800, a key support level, on Tuesday.
The dollar bought around 108.06 yen, down 0.1 percent but off the day's lows below 107 yen.