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FOREX-Yen bounces as vaccine boost fades, economic pressure builds

    * Yen recoups some vaccine losses, still tracks for weekly
    * Vaccine fails to lift risky currencies as caution weighs
    * Dollar index up 0.7% this week
    * Graphic: World FX rates in 2020

    By Tom Westbrook
    SYDNEY, Nov 13 (Reuters) - The Japanese yen edged higher on
Friday as investors crept back to the safe-haven currency,
worried about the economic damage of a trying winter in Europe
and the United States as COVID-19 cases continue to surge.
    The yen rose 0.2% to 104.90 per dollar in the Asia
session, its highest since Monday when it tumbled after Pfizer
announced that it had developed a working virus vaccine.
    The yen remains down by about 1.5% against the dollar this
week, its sharpest weekly drop in five months, and softer on
most crosses. But the bounce from its lows - along with softness
in riskier currencies - shows plenty of caution remains. 
    "There are reasons to be optimistic about the global
economic recovery, and eventual pandemic submission over the
coming year, but we are not out woods yet," said National
Australia bank's senior currency strategist Rodrigo Catril.
    "The Aussie continues to find the air thinning above 73
    The risk-sensitive Australian dollar stabilised
around $0.7230 in Asia, pulling back from a small dip as Edison
Research projected U.S. President-elect Joe Biden will win the
battleground state of Arizona - cementing his winning margin.
    The Aussie is on track for a small weekly loss.
    The kiwi was down 0.2% at $0.6824 though is headed
for a weekly gain of 0.7% as investors reckon economic
improvements have reduced the chance of negative rates.
    The euro rose marginally overnight to clamber back
over $1.18, but it is down about 0.6% for the week so far,
helping the dollar index to a 0.7% weekly rise.
    The Chinese yuan was marginally weaker at 6.6219 per
    In Europe and the United States, a second wave of infections
has prompted the re-imposition of social restrictions to stop
the virus' spread. That will have markets discounting any good
news in eurozone growth numbers due later on Friday.
    "The GDP report will have minimal impact on the euro with
analysts, including ourselves, now widely expecting a double-dip
recession in the euro zone starting in the fourth quarter," said
Commonwealth Bank of Australia analyst Kim Mundy in a note.
    Central bank chiefs likewise warned that the crisis has some
way to run.
    Despite Pfizer's announcement this week that trials have
showed the vaccine it developed with Germany's BioNTech seems to
work, a jump to mass vaccinations faces many
    "From a huge river of uncertainty, we see the other side
now," said European Central Bank President Christine Lagarde in
a panel discussion with U.S. Federal Reserve Chair Jerome Powell
and Bank of England Governor Andrew Bailey.
    "But I don't want to be exuberant about this vaccination
because there is still uncertainty," she said, about its 
production and distribution.

    Currency bid prices at 4:19PM in Sydney(0519 GMT)
 Description      RIC         Last           U.S. Close  Pct Change     YTD Pct     High Bid    Low Bid
                                              Previous                   Change                 
 Euro/Dollar                  $1.1805        $1.1804     +0.00%         +5.29%      +1.1814     +1.1800
 Dollar/Yen                   104.9100       105.1050    -0.17%         -3.39%      +105.1200   +104.8850
 Euro/Yen                     123.85         124.11      -0.21%         +1.56%      +124.1400   +123.8000
 Dollar/Swiss                 0.9148         0.9152      -0.03%         -5.45%      +0.9151     +0.9140
 Sterling/Dollar              1.3122         1.3124      -0.02%         -1.07%      +1.3125     +1.3112
 Dollar/Canadian              1.3161         1.3145      +0.13%         +1.32%      +1.3170     +1.3135
 Aussie/Dollar                0.7230         0.7233      -0.03%         +3.06%      +0.7242     +0.7222
 NZ                           0.6824         0.6839      -0.22%         +1.41%      +0.6843     +0.6815
 Dollar/Dollar All spots
Tokyo spots
Europe spots 
Tokyo Forex market info from BOJ 

 (Reporting by Tom Westbrook; Editing by Sam Holmes, Richard
Pullin and Kim Coghill)