* U.S. producer prices fall in June, dollar weaker
* U.S. COVID cases post one-day record on Thursday
* Yuan dips but stays near 4-month high
* Graphic: World FX rates in 2020 https://tmsnrt.rs/2RBWI5E
(Adds new comment, FX table, updates prices, changes byline, dateline; previous LONDON)
By Gertrude Chavez-Dreyfuss
NEW YORK, July 10 (Reuters) - The safe-haven Japanese yen climbed to a two-week peak against the
dollar on Friday, lifted by concerns about a surge in coronavirus infections in the United States and
around the world.
The yen was on track to post its largest daily percentage gain against the dollar in about a month.
The greenback fell against a basket of major currencies, pressured by weaker-than-expected U.S.
producer prices in June as well as positive news about the potential coronavirus vaccine remdesivir that
hurt the dollar's status as a safe haven.
More than 60,500 new COVID-19 infections were reported across the United States on Thursday, according
to a Reuters tally, the largest one-day increase in any country since the pandemic emerged in China last
year. There were also alarming new spikes in infections in some Asia Pacific cities that appeared to have
contained the disease, such as Tokyo, Hong Kong and Melbourne. "Growth worries stalked markets, buoying safe bets like the yen and gold," said Joe Manimbo, senior
market analyst, at Western Union Business Solutions in Washington.
He cited the rise in COVID cases globally and recent U.S. economic data, which has "shown signs of
improvement," but "the pace has started to tail off."
U.S. producer prices unexpectedly fell 0.2% in June, after rebounding 0.4% in May, as the economy
battles depressed demand amid the COVID-19 pandemic. Also weighing on the dollar was news that Gilead Sciences Inc GILD.O said additional data from a
late-stage study showed its antiviral remdesivir reduced the risk of death and significantly improved the
conditions of severely ill COVID-19 patients. In late morning trading, the dollar fell 0.5% against the yen to 106.66 yen JPY=EBS .
"The Japanese yen has been trading within a very tight trading range throughout the crisis. We're
definitely back towards the bottom of that range," said Lee Hardman, currency analyst at MUFG.
The dollar index also fell 0.3% to 96.451 =USD
The euro rose 0.3% against the dollar to $1.1318 EUR=EBS , while the British pound was up 0.4% at
$1.2655 GBP=D3 .
The Chinese yuan in the offshore market was down about 0.1% at 7.0039 per U.S. dollar CNH=EBS ,
having touched a near-four-month high of 6.9808 on Thursday.
The Chinese currency has gained almost 1% this week, supported by hopes of capital inflows as share
prices rebounded after Beijing indicated it wants a healthy bull market.
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Currency bid prices at 11:02AM (1502 GMT)
Description RIC Last U.S. Close Pct Change YTD Pct High Bid Low Bid
Previous Change
Session
Euro/Dollar EUR= $1.1316 $1.1281 +0.31% +0.95% +1.1324 +1.1256
Dollar/Yen JPY= 106.7200 107.1900 -0.44% -1.97% +107.2600 +106.6500
Euro/Yen EURJPY= 120.81 120.95 -0.12% -0.94% +121.0600 +120.2800
Dollar/Swiss CHF= 0.9391 0.9402 -0.12% -2.97% +0.9431 +0.9386
Sterling/Dollar GBP= 1.2659 1.2604 +0.44% -4.53% +1.2663 +1.2568
Dollar/Canadian CAD= 1.3587 1.3584 +0.02% +4.61% +1.3631 +1.3575
Australian/Doll AUD= 0.6956 0.6963 -0.10% -0.94% +0.6969 +0.6925
ar
Euro/Swiss EURCHF= 1.0630 1.0609 +0.20% -2.05% +1.0638 +1.0608
Euro/Sterling EURGBP= 0.8939 0.8949 -0.11% +5.75% +0.8970 +0.8939
NZ NZD= 0.6577 0.6568 +0.14% -2.35% +0.6588 +0.6547
Dollar/Dollar
Dollar/Norway NOK= 9.4192 9.4645 -0.48% +7.30% +9.5467 +9.4115
Euro/Norway EURNOK= 10.6625 10.6843 -0.20% +8.40% +10.7545 +10.6565
Dollar/Sweden SEK= 9.1713 9.2331 -0.39% -1.88% +9.2814 +9.1699
Euro/Sweden EURSEK= 10.3797 10.4200 -0.39% -0.85% +10.4527 +10.3778