* Dollar/yen nears 100 yen on Fed tapering expectations
* Euro under pressure, but holds above last week's lows
* Diverging monetary policies leave EUR/USD downtrend intact
LONDON, Nov 12 (Reuters) - The dollar rose broadly, hitting a one-month peak against the yen on Tuesday on higher U.S. government bond yields and growing expectations the Federal Reserve will soon scale back monetary stimulus. A rise in Japanese shares weighed on the yen, which typically falls when investors are looking to take on more risk. The dollar rose 0.6 percent to 99.80 yen, its strongest since Sept. 13. It faced resistance at 100 yen and at the September peak of 100.62 yen. Speculation has grown that the Fed will taper its $85 billion-a-month bond-buying programme sooner rather than later after above-forecast U.S. jobs data on Friday, lifting the dollar. "Better-than-expected U.S. payrolls last week and also the outlook for easier monetary policy in Europe is helping the dollar," said Niels Christensen, currency strategist at Nordea. "We have some momentum in dollar/yen which is approaching 100 yen and key resistance at the September high. We may need some fresh news to push it higher." Traders said activity was returning to normal after U.S. bond and some other markets were shut for Armistice Day on Monday. The dollar index rose 0.3 percent to 81.315, edging back towards a two-month peak of 81.482 struck on Friday. The euro was down 0.2 percent at $1.3381, holding above a two-month low of $1.3295 hit on Thursday when it was sold off sharply after an unexpected interest rate cut by the European Central Bank. With the Fed poised to scale back its stimulus and the ECB committed to easy policy for now, analysts expect the diverging monetary outlooks to keep pressure the euro against the dollar. Any bounces in the euro offer potentially good opportunities to enter new short positions against the dollar and sterling, as well as against higher-yielding commodity bloc currencies, analysts at BNP Paribas wrote in a client note. In Asia, investors will be keeping an eye on China where the country's leaders are slated to unveil economic reforms for the next decade on Tuesday. The Australian dollar was down 0.4 percent at $0.9322 after Australian business confidence fell back from the 3-1/2-year highs reached in October.