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By Alwyn Scott NEW YORK (Reuters) - Treasury yields extended their rise on Friday while the three major U.S. stock indexes rallied to record closing highs, as markets relaxed a bit from fears of a slowing pace of economic recovery from COVID-19 that dominated trading for much of the week. In currencies, the safe-haven yen weakened 0.32% versus the greenback at 110.14 per dollar, while the dollar index fell 0.205%, and the euro edged up 0.24% to $1.1871. Signs of risk relief were tempered, however, as spot gold, another safe-haven asset, logged its third straight weekly gain, rising 0.3% to $1,807.65 an ounce. Concern about a faltering recovery, driven in part by the spread of the Delta variant of the coronavirus, had reduced risk appetite early in the week and prompted flight-to-safety bond buying, with some betting the reflation trade had stalled.

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