Foreign Exchange : Broad Loss for Dollar; Gold Mixed

The dollar fell broadly on world foreign exchange markets Thursday, undercut by expectations of further declines in interest rates in the United States and fears of central bank intervention.

Currency dealers also attributed the retreat to a few large sales of dollars by clients in the Middle East and by a Soviet bloc bank.

Gold prices were mixed in a narrow range. Republic National Bank in New York said gold bullion was bid at $299.50 an ounce as of 4 p.m. EST, unchanged from the earlier close at the New York Commodity Exchange and down $1.90 from the late bid Wednesday.

Howard Kurz, chief trader at Bank of America’s trading center in New York, said an Eastern block bank and two customers in the Middle East were among large sellers of dollars Thursday, moves that kept traders nervous.