The Nikkei average edged down 0.27 per cent today to retreat from a five-month high.
The fall comes as investors grabbed profits amid caution ahead of corporate earnings reports in Japan and the United States.
The broader Topix index was down 0.29 per cent at 1,641.31. The dollar was trading around 119.05 yen off the 10-month high of 119.88 yen struck on Friday.
Honda, Japan's third-biggest car maker, lost 1.7 per cent to 4,110 yen. Industry leader Toyota gave up 1.5 per cent to 6,790 yen, after hitting its all-time high of 6,990 yen on Friday.