The U.S. dollar put in a mixed performance Tuesday in quiet trading after plunging in Tokyo to a postwar low against the Japanese yen for the second straight day. Gold prices fell. Bullion was quoted at $349 an ounce at Republic National Bank at 4 p.m. EST, down 50 cents from Monday's late bid.
Currency dealers said the dollar traded within a narrow range as generally falling oil prices and a related decline in U.S. interest rates were offset by fears that central banks might intervene to prevent the dollar from falling further. In Tokyo, the dollar closed at 174.90 yen, down from Monday's 175.45 yen, the previous record closing low since World War II. Later, in London, it edged back up to 175.02 yen.
Finance Minister Noburu Takeshita hinted Monday that Japan might seek joint intervention with other countries to prevent the further collapse of the dollar.
The dollar has fallen by about 27% since Japan, the United States, France, Britain and West Germany agreed last Sept. 22 to sell dollars jointly.