FOREX-Dollar flat, yen near three-week lows after vaccine news

    * Dollar stabilizes after gaining on vaccine news
    * Yen trades near Monday levels
    * Swiss franc recovers some losses
    * Graphic: World FX rates in 2020

 (Updates prices, adds commentary)
    By David Henry
    NEW YORK, Nov 10  (Reuters) - The dollar was steady on Tuesday and the yen stayed near three-weeks
lows, as investors remained optimistic about progress toward a COVID-19 vaccine and the currency markets
digested Monday's big moves.
    U.S. drugmaker Pfizer Inc and German partner BioNTech SE said on Monday a large-scale
clinical trial showed their vaccine was more than 90% effective in preventing COVID-19 - news which drove
renewed appetite for risk that lifted global markets.
    The dollar's rise on Monday of 0.5%, analysts said, was caused by investors quitting long positions in
other major safe-haven currencies such as the Japanese yen and the Swiss franc.
    The dollar was flat against a basket of major currencies, near its previous session's highs, as market
participants declined to push it further in light of uncertainty about how or when a vaccine could be
rolled out. 
    U.S. Treasury yields held their Monday increases, and the spread between two-year and 10-year notes
widened slightly, in choppy trading. Major U.S. and European stock indexes at midday Eastern
Time were also holding steady with most of their gains from Monday.
    "Today is a little bit of a cool-off from what we've seen in this past couple of days," said Minh
Trang, senior FX trader at Silicon Valley Bank. "I don't mind a little bit of a breather. November has
been very, very interesting." 
    Neil Jones, head of FX sales for financial institutions at Mizuho, said he expected the risk-on moves
to hold. 
    "We need more clarity in terms of the distribution, quantities, timeline, and to whom," Jones said.
"On balance, that optimism will remain for now."
    The dollar had lost around 1.4% this month until Democrat Joe Biden's victory in the U.S. presidential
election became apparent over the weekend.
    The Japanese yen, which had its biggest one-day fall since March after the vaccine announcement, was
little changed Tuesday at 105.28 yen to the dollar. The yen had initially clawed back some of its
losses from the day before.
    The Swiss franc gained marginally, with the dollar rising 0.1% to 0.914 franc after Monday's
1.5% gain.
    "Following a euphoric market reaction such as that, the question that now arises is whether it was
justified or possibly exaggerated," wrote Commerzbank FX and EM analyst You-Na Park-Heger in a note to
    Possible catalysts for future changes in exchange rates include new talks in Washington on another
round of government spending to stimulate the economy, said Trang of Silicon Valley Bank.
    "That's the next topic that most people will be focusing on in the next six months," he said.
    Senate Majority Leader Mitch McConnell said on Tuesday afternoon that he did not see a need for a
giant coronavirus relief bill. "It seems to me that snag that hung us up for months is still there," the
Republican told reporters.
    Euro-dollar was broadly flat at $1.1823. In the previous session, it rose to as high as $1.192, but
went no further, which Mizuho's Jones said could be due to the European Central Bank having signaled its
awareness of the downsides of rapid euro strength.
    The Australian dollar - seen as a liquid proxy for risk appetite - was flat, holding gains it made in
the immediate aftermath of the vaccine news..
    The New Zealand dollar was up 0.2% and poised to extend to eight days its streak of consecutive
session of gains.
    China's offshore yuan, which has been gradually strengthening since May, was up slightly on Tuesday
after hitting 2-1/2-year highs versus the U.S. dollar on Monday..        
    Currency bid prices at 2:46PM (1946 GMT)
 Description      RIC         Last           U.S. Close  Pct Change     YTD Pct     High Bid    Low Bid
                                              Previous                   Change                 
 Dollar index                 $92.6750       92.7400     -0.06%         +0.00%      +92.9770    +92.6010
 Euro/Dollar                  $1.1823        $1.1814     +0.08%         +5.47%      +1.1843     +1.1780
 Dollar/Yen                   105.2800       105.3600    -0.09%         -3.08%      +105.4800   +104.8300
 Euro/Yen                     124.48         124.45      +0.02%         +2.07%      +124.6000   +124.0000
 Dollar/Swiss                 0.9143         0.9138      +0.07%         -5.50%      +0.9175     +0.9116
 Sterling/Dollar              1.3254         1.3162      +0.71%         -0.05%      +1.3277     +1.3154
 Dollar/Canadian              1.3010         1.3007      +0.02%         +0.15%      +1.3050     +1.2985
 Aussie/Dollar                0.7286         0.7282      +0.07%         +3.85%      +0.7294     +0.7253
 Euro/Swiss                   1.0809         1.0787      +0.20%         -0.38%      +1.0822     +1.0783
 Euro/Sterling                0.8918         0.8971      -0.59%         +5.49%      +0.8983     +0.8885
 NZ                           0.6830         0.6817      +0.23%         +1.55%      +0.6839     +0.6804
 Dollar/Norway                9.0040         9.0340      -0.12%         +2.87%      +9.0535     +8.9875
 Euro/Norway                  10.6481        10.6685     -0.19%         +8.24%      +10.6992    +10.6150
 Dollar/Sweden                8.6003         8.6282      -0.15%         -7.99%      +8.6527     +8.6007
 Euro/Sweden                  10.1687        10.1835     -0.15%         -2.87%      +10.2145    +10.1688
 (Reporting by David Henry in New York and Elizabeth Howcroft in London;
Editing by Bernadette Baum and Jonathan Oatis)