Strong Dollar Continues Its Record Surge : Europeans Respond to Reagan Ruling Out Devaluation

The U.S. dollar continued its record-shattering climb on European currency markets today, boosted by President Reagan’s statement that the United States will not act to devalue the currency. Gold prices were mixed.

The British pound fell to an all-time low of $1.0730 in late trading, down a penny from the previous record of $1.0830 set late Thursday. The pound traded at $1.1025 last Friday.

The dollar also hit all-time highs against the French franc and Italian lira. It rose to 13-year highs against the West German mark and Dutch guilder and to a 10-year high against the Swiss franc.

At a news conference Thursday night, Reagan said it was up to the United States’ trading partners to strengthen their economies if they want to bolster their currencies.

Record Shattered

The dollar has shattered records all but two of February’s 16 business days.

Currency dealers said there were no reports of European central banks intervening to sell dollars.

In Tokyo, the dollar closed at 262.35 Japanese yen, up from 261.50 yen Thursday and from last Friday’s 259.20 yen.

Other late dollar rates, compared to late Thursday and with last Friday’s late rates in parentheses: 3.3900 West German marks, up from 3.3485 (3.2708); 2.8560 Swiss francs, up from 2.8450 (2.7815); 10.3550 French francs, up from 10.2425 (10.0025); 3.8390 Dutch guilders, up from 3.7975 (3.7020); 2,111.00 Italian lire, up from 2,083.00 (2,019.75), and 1.3870 Canadian dollars, up from 1.3702 (1.3402).

Bullion dealers said the dollar’s surge had little effect on gold prices.

Gold was quoted in London at a late bid price of $299.25 a troy ounce, up from $299.00 late Thursday.

In Zurich, the metal fell to $298.50 compared with late Thursday’s $299.75.