FOREX-U.S. dollar hits one-year high vs yen, index on track for best quarter since June 2018 – Reuters

    * Dollar marks fresh 1-year high vs yen
    * Euro hits 5-month low vs dollar
    * ADP data shows increased hiring for February
    * Graphic: World FX rates

 (New throughout, updates prices, market activity and comments, adds FX table)
    By Gertrude Chavez-Dreyfuss
    NEW YORK, March 31  (Reuters) - The dollar rose on Wednesday, hitting a one-year high versus the yen and
multi-month peaks with other currencies as investors bet fiscal stimulus and aggressive vaccinations will
help the United States lead a global pandemic recovery. 
    The dollar index, a gauge of its value against six major currencies, however fell 0.1% to 93.124.
But it was on track to post its biggest quarterly gain since June 2018, up around 3.5%.
    The index rose as far as 93.439, the highest in almost five months. It has climbed from close to 90 at
the start of March, on course for its best month since July 2019.
    The greenback held its gains following data showing the U.S. economy added more than 500,000 private
sector jobs in February.
    U.S. private payrolls increased by 517,000 jobs last month, the ADP National Employment Report showed on
Wednesday, slightly lower than market forecasts. Data for February was revised up to show 176,000 jobs added
instead of the initially reported 117,000.
    "While ADP isn't a reliable gauge of how nonfarm payrolls might fare, it paints an improving picture of
the labor market," said Joe Manimbo, senior market analyst at Western Union Business Solutions, in a
research note.
    Wall Street economists are forecasting U.S. non-farm payrolls, due on Friday, of 647,000.
    "Given markets' lofty expectations for March hiring, seen up by 650,000, the dollar could fall prey to
the buy the rumor of good news and sell on the fact," he added.
    The dollar set a one-year top of 110.97 yen and was last up 0.2% at 110.535 yen. For the
quarter, the dollar posted gains of about 7%, on pace for its best performance since December 2016.
    The euro, meanwhile, fell to a five month low versus the dollar at $1.1704, but was last up 0.2% at
$1.1735. On the quarter, the euro was on track for its weakest showing since September 2019.
    The dollar has been supported overall by a surge in U.S. bond yields, which make the currency more
attractive as an investment.
    The yield on the benchmark 10-year Treasury note jumped to a one-year high of 1.776% on
    "With U.S. Treasuries meaningfully under pressure yesterday, the environment is clearly supportive for
the U.S. dollar, particularly as Europe continues to battle with a third Covid wave," said ING's global head
of markets, Chris Turner, in a note to clients. 
    Also later on Wednesday, U.S. President Joe Biden is set to outline how he intends to pay for a $3
trillion to $4 trillion infrastructure plan, after earlier this week saying 90% of adult Americans would be
eligible for vaccination by April 19.
    In the cryptocurrency market, bitcoin briefly topped $59,000, trying to close the distance to the record
peak at $61,781.83 set earlier this month. It was last up 0.8% at $59,243.
    PayPal Holdings said Tuesday it launched a "Checkout with Crypto" service, which will allow
U.S. users to use their cryptocurrency holdings to pay online merchants worldwide, adding to the growing
global acceptance of the digital tokens on both Wall Street and Main Street.
    Currency bid prices at 11:22AM (1522 GMT)
 Description      RIC         Last           U.S. Close  Pct Change     YTD Pct       High Bid    Low Bid
                                              Previous                   Change                   
 Dollar index                 93.1260        93.2350     -0.10%         3.495%        +93.4390    +92.9820
 Euro/Dollar                  $1.1737        $1.1716     +0.18%         -3.94%        +$1.1760    +$1.1704
 Dollar/Yen                   110.5400       110.3500    +0.18%         +6.99%        +110.9600   +110.2800
 Euro/Yen                     129.72         129.28      +0.34%         +2.21%        +130.0400   +129.2600
 Dollar/Swiss                 0.9422         0.9419      +0.05%         +6.52%        +0.9447     +0.9404
 Sterling/Dollar              $1.3778        $1.3742     +0.27%         +0.86%        +$1.3809    +$1.3717
 Dollar/Canadian              1.2575         1.2629      -0.41%         -1.23%        +1.2629     +1.2540
 Aussie/Dollar                $0.7609        $0.7597     +0.16%         -1.09%        +$0.7636    +$0.7589
 Euro/Swiss                   1.1056         1.1036      +0.18%         +2.30%        +1.1074     +1.1037
 Euro/Sterling                0.8518         0.8524      -0.07%         -4.71%        +0.8538     +0.8506
 NZ                           $0.6991        $0.6983     +0.11%         -2.65%        +$0.7025    +$0.6965
 Dollar/Norway                8.5390         8.5470      -0.11%         -0.57%        +8.5630     +8.5055
 Euro/Norway                  10.0210        10.0240     -0.03%         -4.26%        +10.0340    +9.9809
 Dollar/Sweden                8.7192         8.7350      +0.00%         +6.38%        +8.7518     +8.7073
 Euro/Sweden                  10.2351        10.2354     +0.00%         +1.58%        +10.2513    +10.2217
 (Reporting by Gertrude Chavez-Dreyfuss; Additional reporting by Ritvik Carvalho in London; Editing by
William Maclean and David Gregorio)


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