Euro higher as debt yields fall The euro rose against the dollar on Wednesday amid a more positive mood on European government debt, with figures showing better than expected manufacturing activity for much of the eurozone in January. The single currency was up 0.4 per cent to $1.3133, as Italian and Portuguese bond yields fell from recent highs. IN Currencies The euro was also 0.3 per cent higher against the pound at £0.8325, as a Markit purchasing managers" index for manufacturing in the eurozone showed higher than expected activity last month - though it still indicated an overall contraction. The pound rose 0.2 per cent against the dollar to $1.5782 as figures showed a rise in manufacturing activity in the UK last month, with output expanding at the fastest pace since March. However, the continuing demand for the yen subdued moves in the euro against the Japanese currency, which rose less than 0.1 per cent to Y99.79. The dollar lost a further 0.2 per cent against the yen to Y76.01, close to levels at which the Bank of Japan last intervened to weaken the currency in October. The Swiss franc also hit fresh highs against the euro, moving to SFr1.2028, just above the SFr1.20 floor at which the Swiss National Bank has said it will intervene to weaken the franc. The euro was flat against the franc in mid-morning trading in London. Commodity currencies rose again on Wednesday after a dip the previous day. The Australian dollar was 0.6 per cent higher at $1.0669 and the New Zealand dollar rose 0.6 per cent to $0.8296. The Canadian dollar was up 0.3 per cent to $1.0001.