* Risk aversion buoys dollar, yen
* Dollar dips vs yen on stock drop
* NZ dollar hits six-year low vs U.S. dollar
By Rika Otsuka
TOKYO, Jan 30 (Reuters) - The dollar rose against the euro on Friday as deepening concerns over the global recession and a sharp fall in stock markets prompted investors to shed risky assets and seek the harbour of the world's most liquid currency.
The New Zealand dollar struck a six-year low against the U.S. dollar after Reserve Bank of New Zealand Governor Alan Bollard said there was room for more interest rate cuts.
Worries over a prolonged global economic slump increased as government data showed that Japan's industrial output plunged 9.6 percent in December, the biggest drop on record.
That came a day after U.S. data showed jobless claims hitting a record high, orders for big-ticket items such as appliances falling for a fifth straight month in December and sales of new homes plunging 14.2 percent to an all-time low.
"It is surprising to see the dollar standing firm after such poor U.S. data," said a forex trader at a big Japanese bank. "The only explanation we have is that worldwide risk aversion moves continue to keep the dollar buoyant."
The euro fell 0.4 percent from late U.S. trade to $1.2902 after falling more than 1 percent on Thursday.
The European single currency slid 0.6 percent to 115.91 yen.
The euro took a hit on Thursday after billionaire investor George Soros told an Austrian newspaper that the currency may not survive without a European Union plan to deal with toxic assets.
His comments further dented the euro that was already bearish after European Central Bank President Jean-Claude Trichet warned that the ECB could push interest rates below 2 percent, and as data showed the biggest monthly jump in German unemployment in four years. The dollar dipped 0.3 percent to 89.75 yen, dented by a fall in stocks, while month-end dollar demand from Japanese companies capped losses.
The New Zealand dollar slid 0.4 percent to $0.5114 after hitting a six-year low of $0.5088 according to Reuters data.
Tokyo's Nikkei share average was down 3.5 percent. (Editing by Brent Kininmont)