By Audrey McAvoy
Of DOW JONES NEWSWIRES

TOKYO (Dow Jones)--The dollar rose to another three-year high against the yen in Asia Tuesday, as those left out of earlier rallies belatedly joined the game and Japanese investors bought euros for yen, players said. "I do get a sense that some are rushing to buy dollars," said a foreign exchange trader at a Japanese city bank. "It is a 'sell yen' market." Foreign exchange traders remain convinced Japan's Ministry of Finance - which is in charge of currency policy - is satisfied to see the yen continue to decline, as the weaker currency can help Japan's economy recover and soften the blow of painful structural reforms. Financial authorities have shown little alarm at the yen's slide, giving rise to the impression MOF condones the market's move. Officials' recent comments have been in striking contrast to those of last spring, when the yen last fell sharply. In April, when the dollar surged to Y126.84, then-Finance Minister Kiichi Miyazawa voiced concern about the yen's fall as being too abrupt. On Monday, current Finance Minister Masajuro Shiokawa didn't elaborate on the dollar's break above Y128, saying only that he thought it had "a lot to do" with falling stock prices. The yen's fall is "all approved by MOF authorities," said a senior foreign exchange trader at a European bank. "We can't rule out Y140," for the dollar in the next few months, he added. The triggering of stop-loss buy orders with strikes at Y128.10 and Y128.20 provided the direct impetus for the dollar's rise Tuesday, sending the currency as high as Y128.30, its highest level since Oct. 7, 1998. Orders from Japanese trust banks buying euros - to take advantage of higher interest rates in the Euro-zone - also lifted the euro against the yen, and in turn helped the dollar rise against the Japanese unit. At 0515 GMT (12:15 a.m. EST), the dollar was quoted at Y128.30, above Y127.50 late Monday in New York. The dollar was at Y127.72 late Monday in Tokyo. The euro was at $0.9025, higher than $0.9022 late Monday in New York. The euro was at $0.9033 in Tokyo Monday. Against the yen, the euro was quoted at Y115.79, up from Y115.03 in New York late Monday. The euro was at Y115.37 in Tokyo late Monday.