Dollar Drops; Gold Edges Up

The dollar recovered in foreign exchange trading early today in Europe after sliding in U.S. trading a day earlier. Gold prices rose.

Despite the recovery from closing levels late Wednesday in New York, however, the dollar was still lower than levels at the end of trading Wednesday in Europe.

In Tokyo today, the dollar inched higher to close at 261.35 Japanese yen from Wednesday’s 261.25 yen. Later, in London, it was quoted at 261.48 yen.

In London, the British pound was quoted at $1.0610, compared to $1.0550 Wednesday.

Other dollar rates at mid-morning, compared to late rates in Europe on Wednesday, were: 3.3932 West German marks, down from 3.4340; 2.9135 Swiss francs, down from 2.9180; 10.4225 French francs, down from 10.4645; 3.8300 Dutch guilders, down from 3.8805; 2,106.00 Italian lire, down from 2,127.00, and 1.4020 Canadian dollars, down from 1.4025.

Gold opened in London at a bid price of $290.75 an ounce, compared to late Wednesday’s $287.75.

Silver was quoted in London today at a bid price of $5.71 an ounce, up from Wednesday’s $5.655. Silver for current delivery closed at $5.727 an ounce Wednesday on the Comex in New York.