The dollar was steady against the yen at 86.07 yen, edging away from an earlier peak of 86.64 yen, its strongest since August 2010, when it stopped just shy of reported options barriers at 86.75 yen and 87.00 yen. The euro was down 0.2 percent on the day at $1.3210, having slipped to a session low of $1.3164 when traders said it broke below stop loss sell orders around $1.3170. In the U.S. bond market, benchmark Treasuries yields dropped to their lowest levels in two weeks as concerns that the economy would be harmed by tax hikes and spending cuts and a fall in consumer confidence spurred demand for safe-haven bonds. Benchmark 10-year notes rose 8/32 in price, with yields falling to 1.71 percent, down from 1.73 percent on Thursday and from a two-month high of 1.85 percent a week and a half ago. -- SPA
