Oil prices eased in Asian trade on Tuesday. New York's main futures contract, light sweet crude for delivery in July dipped 42 cents to 77.40 USD a barrel while London's Brent North Sea crude for August delivery was off 45 cents at 78.37 USD. China's weekend announcement that it would strengthen the flexibility of the yuan had sent oil prices sharply higher on Tuesday. Analysts said, the Chinese central bank's statement was a sign that Beijing was ready to adjust the dollar peg, which has been in place for two years, and allow the currency to rise. China has effectively pegged the yuan at about 6.8 to the dollar since mid-2008 to prop up exporters during the world financial crisis.