FOREX-Dollar, yen gain while risk currencies slip as U.S. coronavirus anxiety deepens

* Dollar index up slightly, yen at 2-week high
* Yuan dips but stays near 4-month high
* Graphic: World FX rates in 2020 https://tmsnrt.rs/2RBWI5E

By Hideyuki Sano
TOKYO, July 10 (Reuters) - The dollar and other safe-haven
currencies gained against their riskier peers on Friday after a
surge in new coronavirus infections in the United States further
undermined the case for a quick turnaround in the economy.
More than 60,000 new COVID-19 cases were reported across the
United States in the latest count, the greatest single-day tally
by any country in the pandemic so far, discouraging some
American consumers to return to public spaces. The caution helped to push up the dollar index .DXY about
0.1% in Asia to 96.863 from near one-month low of 96.233 touched
on Thursday.
The safe-haven yen hit a two-week high against the dollar,
rising to 107.00 per dollar JPY= .
The Swiss franc, another safe-haven, flirted near its
highest level in six weeks against the euro, at 1.0619 franc per
euro EURCHF= .
Against the dollar, the franc changed hands at 0.9419 per
dollar CHF= after having touched a four-month high of 0.93625
to the dollar.
The euro shed 0.1% to $1.1273 EUR= , slipping back from a
one-month high of $1.1371 on Thursday.
Thursday's weekly data showed the number of Americans filing
for initial jobless benefits dropped to a near four-month low
last week. Still, with companies from retailers to airlines announcing
job cuts and furloughs, the outlook remained highly uncertain.
There were 32.9 million people receiving unemployment
checks, putting together all programs, in the third week of
June, up 1.411 million from the middle of the month.
"Although we have seen improvements in economic data, people
are beginning to think that is just a natural outcome of
economic reopenings. Now they are starting to worry more about
increasing infections," said Minori Uchida, chief currency
strategist at MUFG Bank.
Many risk-sensitive currencies took a step back following
their rally in recent weeks.
The Australian dollar lost 0.3% to $0.6942 AUD=D4 , off
Thursday's one-month high of $0.7001.
The yuan, which often tends to align with risk-sensitive
currency groups, bucked the trend, supported by hopes of capital
inflows as Chinese shares prices have surged after Beijing
indicated it wants a healthy bull market.
The offshore yuan traded at 7.005 yuan per dollar CNH= ,
down about 0.1%, having touched near-four-month high of 6.9808
on Thursday.
The Chinese currency has gained almost 1% so far this week,
outpacing many others in the same time.
In addition to stock investments and hopes of a recovery in
the world's second-biggest economy, higher China debt yields are
also attracting foreign capital, said Dmitriy Vlasov, portfolio
manager at East Capital in Hong Kong.
"We have had quite a big inflows in the fixed income markets
as interest rate differentials are also leading to the
appreciation of the yuan."