* Swiss franc soars on safe-haven demand

* Dollar rebounds vs yen as data bolsters recovery hopes

* Australian dollar climbs to 28-year high (Updates prices, adds comment, details)

NEW YORK, Dec 30 (Reuters) - The Swiss franc hit record highs against the euro and dollar on Thursday and looked set to extend gains in the new year as investors sought safety amid persistent concerns about the euro zone debt crisis.

The dollar rebounded from a seven-week low against the yen after a string of strong-than-expected data bolstered optimism about the U.S. economy and lifted U.S. bond yields. Higher yields make dollar-denominated assets more attractive.

The euro fell as low as 1.2398 Swiss francs EURCHF=EBS on trading platform EBS and was on track to post a record loss of about 16 percent this year. The U.S. dollar is heading for a decline against the Swiss franc this year of about 10 percent.

“Euro/Swiss franc has dropped to a new low in tandem with dollar/franc highlighting the genuine strength of the Swiss franc as opposed to simply weakness in either the dollar or euro,” said Camilla Sutton, chief currency strategist at Scotia Capital in Toronto.

“We continue to be Swiss franc bulls, expecting that its status as a European alternative to the euro, a strong sovereign position and relatively solid fundamentals will continue to (make) it an attractive home for investors,” she said.

In midday trading, the euro fell 0.6 percent to 1.2435 francs. The dollar dropped 0.9 percent to 0.9376 francs, after having hit a session trough of 0.9365 CHF=EBS on EBS.

Swiss implied volatilities ticked higher with the one-month dollar/Swiss franc CHF1MO= trading at around 11.80 percent, a level last seen in mid-November.

Against the U.S. dollar, the euro climbed to a session peak of $1.3315 on EBS EUR=EBS after breaking above its 20-day moving average around $1.3222. It last traded at $1.3261, up 0.3 percent on the day.

Worries that the euro zone debt crisis may spread to Spain and Portugal have many analysts bracing for more euro weakness in early 2011, but the currency’s stubborn refusal to break below the 200-day moving average -- now at $1.3086 -- has frustrated bearish investors.

STRONGER US DATA

The dollar earlier slipped as low as 81.28 yen JPY=EBS on EBS -- its lowest in seven weeks -- edging closer to a 15-year low of 80.21 yen hit in November, after a surprisingly strong Treasury auction on Wednesday put pressure on U.S. bond yields.

But it recovered to last trade 0.2 percent higher at 81.76 yen after data showed U.S. initial jobless claims hit their lowest level in more than two years last week and factory activity in the Midwest grew in December at its fast pace since 1988. For details, see [ID:nN3097646]

In a third report, the National Association of Realtors said pending home sales rose 3.5 percent last month, the second straight month of gains and beating market expectations for a 2 percent increase.

“The major theme is that the U.S. data keeps coming in better than expected,” said Mark McCormick, currency strategist at Brown Brothers Harriman in New York. “It all fits with theme that the U.S. economy is moving in the right direction, and that is going to be supportive of the dollar and higher bond yields in 2011.”

Thinning liquidity ahead of the New Year’s holiday likely exaggerated price swings and analysts cautioned against reading too much into the price action.

In earlier trading, the Australian dollar hit a fresh 28-year high of $1.0198 AUD=D4 against the U.S. dollar, though option barriers at $1.0200 prevented further gains as it eased back to $1.0113.