Markets fall as focus shifts to Athen's commitment

Japan's Nikkei <.N225> opened down 0.2 percent. <.T>

World stocks inched up on Greek relief but the euro dipped on a lack of investor confidence in Greece. The euro dropped 0.3 percent to $1.3153 on Tuesday, retreating from Monday's high of $1.3284.

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"Market uncertainty remains high, since a number of steps remain to ensure that there is no disorderly default in the near term," Barclays Capital said in a note, adding that Greek parliamentary elections in April would make implementation risks of the austerity measures particularly challenging.

"We think the current environment favours relative value trades that are less directional on overall market risk appetite," it said.

U.S. crude oil eased 0.3 percent to $100.61 a barrel on Tuesday, after surging 2.3 percent to settle at $100.91 a barrel the day before, supported by the Greek news and concerns about supply disruptions from tensions between Israel and Iran. Brent settled up 62 cents at $117.93 a barrel on Monday.

The passage of the austerity steps was only one condition for granting the new 130 billion-euro bailout, a lifeline for Greece to ride out a major bond redemption on March 20.

Europe gave Greece until Wednesday, when euro zone finance ministers are expected to meet, to convince sceptical international creditors that it would stick to the promises.

Athens must also specify how 325 million euros of the 3.3 billion euros demanded in budget savings will be achieved and Greek political leaders must give a written commitment to implement the terms of the deal.

Provided there are no further setbacks at the EU meeting on Wednesday, terms of a bond swap deal with private bond holders to ease Greece's debt burden would then be announced.

RISK POSITIVE SIGNS

Greek woes were far from being resolved, but the progress towards a solution and expectations for another round of huge liquidity injections from the European Central Bank later this month kept some degree of risk positive sentiment intact.