In early Asian trading on Monday the euro bought $1.2647 and 100.73 yen, up from $1.2514 and 99.49 yen in New York on Friday.
The euro jumped against the dollar and yen in early Asian trade Monday after the 17-nation eurozone agreed to lend Spain as much as 100 billion euros ($126 billion) to shore up its battered banking system.
The single currency bought $1.2644 and 100.63 yen, against $1.2514 and 99.49 yen in New York on Friday.
The rise comes after Madrid at the weekend agreed to the bailout package, which Spain's Economy Minister Luis de Guindos insisted was not a rescue but a loan that imposes conditions on the banks.
However, the deal marked a dramatic climbdown for Spain which had hotly denied any need for outside aid.
Investor concerns have weighed on the euro with tensions already high over a possible Greek exit from the bloc.
EU Economic Affairs Commissioner Olli Rehn said the Spain deal was critical to reassuring jittery markets.
"It is a very clear signal to the market, to the public, that the euro (area) is ready to take decisive action in order to calm down market turbulence and contagion," Rehn said.
After an emergency video conference lasting more than two hours on Saturday, eurozone finance ministers issued a statement saying they were "willing to respond favourably" to a Spanish plea for help.
The deal was hailed by Germany, France, Japan and the United States as well as the International Monetary Fund.
Defying all efforts by policymakers, the eurozone emergency has now spread to the region's fourth-biggest economy -- Spain's is twice the size combined of those of Greece, Ireland and Portugal, the countries bailed out so far.
Prime Minister Mariano Rajoy's conservative government bowed to pressure from world leaders and markets, which have sent Spanish borrowing costs soaring. The dollar, meanwhile, was higher against the yen in Asian trade at 79.58 yen, from 79.49 yen on Friday.
Recession
Spain's weakest banks were left with billions of euros worth of bad loans following the collapse of a property boom and the recession that followed.
The exact amount that Spain will receive will be decided after the completion of two audits of its banks, due within a few days.
On Sunday, Mr Rajoy said that the rescue would speed up the flow of credit loans to families, to small and medium enterprises and to self-employed workers.
He said the real winner was "the credibility of the euro".
But he warned that the near future looked bleak, pointing out that the economy - in its second recession in three years - was still expected to shrink by 1.7% this year.
This year is going to be a bad one," he said.
The loan to Spain was welcomed by the International Monetary Fund (IMF) as well as the US and Japan.
EU economic affairs commissioner Olli Rehn said the deal was a clear signal to the markets that the euro area was ready to take decisive action to calm markets and contain contagion.
Spain is the eurozone's fourth-biggest economy - twice the size combined of those of Greece, Ireland and Portugal, the countries bailed out so far.
However, tensions over the euro remain high with another election to be held in Greece next weekend.
If voters elect a government that refuses to abide by the terms of the country's bailout deal, Athens faces a possible exit from the bloc.
There are fears that a Greek exit could trigger a run on the banks - not only there but in other eurozone countries.
Greece has been in recession for five years, crippled by huge debts, high unemployment and labour unrest.
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