Dollar Moves Higher in Quiet Trading

The dollar rose against most major currencies in quiet worldwide trading Thursday as European markets prepared to close for the long Easter weekend.

Gold prices rebounded in the United States after declining overseas. Republic National Bank in New York quoted gold as of 4 p.m. EST at $320 an ounce, up $3.25 from Wednesday’s late bid.

Currency dealers said that, since activity was lackluster, price swings were exaggerated by relatively small trades. They also said the dollar was boosted by dealers who covered their short positions in advance of the holiday weekend.

With a long weekend ahead, European traders did not want to risk having the dollar rise sharply before they returned, so they covered their positions by buying back the borrowed dollars, which bids up the dollar’s value.

Most European markets are to be closed Friday through Monday.