The dollar is nearing its highest level of the year, with fiscal and political concerns in Europe enhancing the safe-haven attractiveness of US assets. The Bloomberg Dollar Spot Index briefly rose 0.4% to 1,227.1, momentarily closing in on the yearly high set in June, before paring some gains. US Treasuries came under renewed pressure, with the 10-year yield briefly hitting 5.34%, the highest since 2002. The euro fell as much as 0.8% to 1.1161 against the dollar before narrowing its decline. France's budget dispute and contentious election situation have investors weighing the risks of French bonds; Spanish Prime Minister Sanchez's announcement of early elections on November 29 further intensified concerns in the European region. The euro's volatility skew indicates traders are seeking protection against further declines, though the market remains far from a state of panic. The pound fell 0.1% to 1.3223 against the dollar. A closely watched survey showed that the UK job market is experiencing its longest downturn since the start of the century, with the period of contraction exceeding that of the global financial crisis. The dollar rose slightly by 0.1% to 157.97 against the yen.