LONDON, Sept 30 - The dollar fell to a new three-year low against the yen on Tuesday as expectations for a positive Japanese corporate survey due later this week further raised optimism about the Japanese economic recovery. By 0730 GMT the dollar had fallen to a low of 110.35 , down a third of a percent on the day, bringing its losses to around five yen since the Group of Seven called for more flexible currency regimes last week. Speculation was growing the Bank of Japan's quarterly "tankan" corporate survey due on Wednesday would show improving business conditions and reignite global interest in Japanese stocks, keeping the yen buoyant.
"The dollar/yen is being driven by American names. There is expectation of good tankan numbers," a Japanese bank dealer said. The Ministry of Finance is to release data on the amount of foreign exchange intervention for August 28 to September 26 at 1000 GMT.//