LONDON, Sept 23 - The yen surged over one percent against the dollar on Tuesday, extending gains to new three-year highs in the wake of a weekend call by Group of Seven countries for more currency flexibility. The yen had risen to 110.93 to the dollar by 0824 GMT, its strongest since late 2000. The move also pushed the dollar to its lowest against the euro since late July. "This move in the dollar is seen as a general devaluation of the currency in light of what happened at the G7," said Shahab Jalinoos, currency strategist at ABN Amro. "The market is busy downgrading the dollar across the board." Traders have interpreted the G7's call for currency flexiblity as signalling a possible end to Asia's dollar-buying intervention.//

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