* Dollar index rises to 100.310 overnight as euro stays weak
* Break above 100.390 would take it to highs not seen since 2003
* China manufacturing PMI in focus in Asia
By Ian Chua
SYDNEY, Dec 1 (Reuters) - The dollar was on the cusp of reaching its highest in nearly 13 years against a basket of currencies on Tuesday, with the euro pinned down by expectations of aggressive policy easing from the European Central Bank.
The dollar index .DXY stood at 100.200, having come within a whisker of the March peak of 100.390. A break there would take it to highs not seen since April 2003.
The index ended November with a gain of 3.4 percent, its second-biggest monthly rise this year.
Against the yen, the greenback popped above 123.00 JPY= for the first time in a week, but remained below November's three-month high of 123.77.
The ECB is expected to add further stimulus at Thursday's meeting. In contrast, the Federal Reserve has signalled a strong inclination to raise U.S. rates this month. Traders said only a disastrous payrolls report on Friday could set back such a move.
In any case, a diverging policy pathway has caused the euro to suffer a 4.0 percent drop in November - its worst in eight months. It was last at $1.0569 EUR= , near a 7-1/2 month trough of $1.0557 set overnight.
The common currency also lost ground against a host of other currencies overnight, particularly its higher-yielding peers.
It slid to five-month lows against the Australian and New Zealand dollars, reaching A$1.4553 EURAUD=R and NZ$1.6012 EURNZD=R respectively.
Both Antipodean currencies also outperformed the greenback, rising as far as $0.7250 AUD=D4 and $0.6591 NZD=D4 .
Traders are almost certain the Reserve Bank of Australia (RBA) will not cut interest rates at its policy meeting on Tuesday. The RBA will announce a decision at 0330 GMT.
Recent commentary from the central bank suggested it was in no hurry to move the cash rate, which has been sitting at a record low 2.0 percent since the last cut in May.
"A case for a further rate cut could still emerge at next February's Board meeting, particularly if the hoped for Fed rate rise doesn't deliver a lower AUD," analysts at CitiFX wrote in a note to clients.
China's manufacturing PMIs due later in the morning will be closely watched amid persistent worries about slowing growth in the world's second-biggest economy. ECONCN
Outside of the G10 currencies, the Chinese yuan CNH= stood out as the International Monetary Fund admitted the Chinese currency to its benchmark Special Drawing Rights basket.
The yuan CNY= , also known as the renminbi, will have a 10.92 percent share after a review of the weightings formula for the SDR, which also cut the euro's share by more than 6 percentage points. urn:newsml:reuters.com:*:nL1N13P1ET
"The weightage assigned to the renminbi, while slightly higher than that of the yen and sterling, underwhelms somewhat market expectations and the IMF staff estimate of 14-16 percent," said Andy Ji, Asian currency strategist at Commonwealth Bank.