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* Graphic: World FX rates in 2020 tmsnrt.rs/2RBWI5E
* Dollar falls as traders eye next steps in coronavirus
fight
* New Zealand dollar hits more than one-year high after RBNZ
* Rising U.S. coronavirus cases also a concern
By Stanley White
TOKYO, Nov 11 (Reuters) - The dollar fell on Wednesday as
optimism about a coronavirus vaccine was offset by worries about
how the drug will be delivered and by a surge of new infections
in the United States.
The New Zealand dollar recovered from an early dip to hit
its strongest level in more than a year after the Reserve Bank
of New Zealand kept rates on hold as expected and the central
bank governor made optimistic comments about the economy.
Initial optimism about coronavirus vaccine testing pushed
the dollar up against the safe-harbour yen and the Swiss franc,
but this momentum is starting to fade because there are still
several obstacles to clear before a vaccine can be distributed.
"The dollar recovery is on hold for now because, when you
look at the details, there are still a lot of hurdles to clear
before any vaccine is rolled out," said Junichi Ishikawa, senior
foreign exchange strategist at IG Securities in Tokyo.
"However, the dollar is supported by rising Treasury yields,
which should help the dollar make another push higher before
year's end."
The dollar fell 0.14% to 105.10 yen, pulling back
from a three-week high.
Against the euro, the dollar eased slightly to
$1.1825.
The British pound traded at $1.3268, close to a
two-month high due to growing optimism that Britain and the
European Union will agree a long-sought-after trade deal.
Sterling, however, surrendered some of its overnight gains
against the euro.
Sentiment for the dollar got a boost after Pfizer Inc
and BioNTech said on Monday their
experimental coronavirus vaccine was 90% effective.
However, the reaction across financial markets has become
more tempered because there are several logistical hurdles to
making the drug available, including that it has to be shipped
at extremely cold temperatures.
Several U.S. states on Tuesday imposed restrictions to curb
the spread of the coronavirus as hospitalizations soared,
highlighting the difficulty in containing the virus as winter in
the Northern Hemisphere approaches.
The dollar index against a basket of six major
currencies fell slightly to 92.651.
Elsewhere in currencies, the New Zealand dollar hit
$0.6868, its strongest since March 2019.
The Reserve Bank of New Zealand (RBNZ) kept interest rates
on hold at 0.25% and introduced a new monetary policy tool to
drive borrowing costs lower for lenders, which matched
expectations.
RBNZ Governor Adrian Orr also said domestic economic
activity since August has been more resilient than previously
assumed.
Across the Tasman Sea, the Australian dollar held
steady against its U.S. counterpart.
========================================================
Currency bid prices at 11:16AM (0216 GMT)
Description RIC Last U.S. Close Pct Change YTD Pct High Bid Low Bid
Previous Change
Session
Euro/Dollar $1.1825 $1.1812 +0.12% +5.49% +1.1829 +1.1812
Dollar/Yen 105.1000 105.2650 -0.14% -3.22% +105.2850 +105.0200
Euro/Yen 124.27 124.36 -0.07% +1.90% +124.4600 +124.1800
Dollar/Swiss 0.9141 0.9151 -0.11% -5.54% +0.9153 +0.9140
Sterling/Dollar 1.3268 1.3276 -0.05% +0.05% +1.3274 +1.3254
Dollar/Canadian 1.3019 1.3036 -0.13% +0.22% +1.3042 +1.3019
Aussie/Dollar 0.7286 0.7287 -0.01% +3.84% +0.7294 +0.7277
NZ 0.6867 0.6832 +0.53% +2.07% +0.6869 +0.6809
Dollar/Dollar All spots
Tokyo spots
Europe spots
Volatilities
Tokyo Forex market info from BOJ
(Reporting by Stanley White; editing by Richard Pullin)
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