* Yen hovers near 13-month high vs euro on risk aversion
* Investors eye Lehman Q3 results due later in the day
* Oil prices bounce back, giving slight lift to euro
By Satomi Noguchi
TOKYO, Sept 10 (Reuters) - The yen hovered near a 13-month
high against the euro on Wednesday and kept a firm tone against
many currencies on risk aversion, as concerns over the health of
Lehman Brothers <LEH.N> renewed doubts about the U.S. financial
sector.
The yen received a broad lift in early Asian trade after
shares in U.S. investment bank Lehman Brothers posted their
biggest one-day decline on record on Tuesday, causing investors
to dump risky carry trades funded by the low-yielding yen.
While short-term players sold the yen to book profits in
early trade, concerns over the bank's ability to raise capital
provided support.
The euro rose 0.3 percent from late New York trade to 151.76
yen <EURJPY=R>. Moves were volatile with the single currency
jumping as high as 151.93 on trading platform EBS from an
earlier trough of 150.51 yen, a new 13-month low.
Lehman, the fourth-largest Wall Street investment bank, will
unveil strategic initiatives and announce third-quarter results
later in the day, a week earlier than initially scheduled.
[] []
Tokyo's Nikkei share average <> fell 0.8 percent as
worries about the stability of the U.S. financial system eroded
the market's earlier optimism about the U.S. government's
weekend takeover of mortgage firms Freddie Mac <FRE.N> and
Fannie Mae <FNM.N>.
"Lehman developments are keeping market players nervous,"
said a senior trader at a Japanese trust bank.
Oil prices jumped on Wednesday, reversing early losses after
OPEC unexpectedly agreed to effectively cut production despite
market expectations that current production targets would be
maintained.[]
The decision dented the the dollar against the euro and the
Australian dollar, but the impact was limited as concerns about
a global economic slowdown kept a lid on European and
commodities-related currencies, traders said.
"The euro and the Australian dollar are likely to continue
recent broad slides with investors rushing to liquidate
positions and repatriate to the dollar, amid a souring global
growth outlook," said Shuichi Kanehira, a senior trader at
Mizuho Corporate Bank.
The dollar rose 0.4 percent to 107.20 yen <JPY=>, getting a
lift from the euro's rebound versus the yen.
Against the dollar, the euro was up 0.1 percent at $1.4153
<EUR=>, staying above an 11-month low of $1.4046 hit the
previous day.
The dollar index <.DXY>, which measures the greenback's
value against six major currencies, dipped 0.2 percent to
79.267, below a one-year peak of 79.844 hit on Monday, according
to Reuters data.
The Australian dollar rose 0.7 percent to $0.8068 <AUD=D4>,
recovering from an earlier low below $0.80, its lowest level
since August 2007, lifted by rebounding oil and gold prices.
Against the yen, the Aussie jumped 1.1 percent to 86.48 yen
<AUDJPY=R>.
On Tuesday, oil prices fell to a five-month low below $102 a
barrel, about 30 percent below the all-time high of $147.27 hit
in July.
(Additional reporting by Shinichi Saoshiro; Editing by Chris
Gallagher)
