new york jan 3 reuters  the us dollar rose against a basket of major currencies on monday the first trading day of the new year tracking government bond yields as investors anticipate the federal reserve will stay on its path of interest rate hikes in 2022 while the surge in coronavirus cases caused by the omicron variant continued to impact global travel and public services hopes ran high that lockdowns would be averted on monday the us food and drug administration authorized the use of a third dose of the pfizer pfen and biontech covid19 vaccine for children aged between 12 and 15 years and narrowed the time for all booster shots to 5 months from 6 months after primary doses read more yields on us twoyear notes which are sensitive to rate hike expectations along with 5year notes soared to their highest level since march 2020 benchmark us 10year and 5year yields rose to sixweek peaks the us central bank is seen as likely to begin hiking interest rates by mid2022 read more stocks on wall street were modestly higher but had pulled back from earlier gains you’ve seen this spike in yields a drop in the sp and that is kind of like a double whammy  you get the yield play and a little bit of a riskoff combination said erik bregar president and ceo at bregar capital corp in toronto right now yields are the driver the dollar index rose 0615 with the euro down 063 to 11296 economic data showed a gauge of manufacturing for december by markit dipped to 577 from its prior reading of 578 but still indicating expansion november construction spending rose 04 shy of expectations calling for a rise of 06 the japanese yen weakened 021 versus the greenback at 11530 per dollar while sterling was last trading at 13437 down 068 on the day trading volumes however were expected to be thin as london europes main fx trading center is closed for a market holiday in the broader euro zone manufacturing activity remained resilient as factories took advantage of an easing in supply chain constraints and stocked up on raw materials at a record pace read more turkeys annual inflation rate surged to 361 last month its highest in the 19 years tayyip erdogan has ruled laying bare the extent of a currency crisis caused by the presidents unorthodox interest ratecutting policies read more the lira was trading at 1302 against the dollar after the data 12 weaker on the day but off an early low of 1392