Foreign Exchange : Dollar Ends Lower in Quiet Trading

The dollar rose in Europe and Asia but fell in U.S. dealings Friday, ending a quiet, nervous trading session that currency analysts attributed to uncertainty over the outcome of the Tokyo economic summit.

Gold prices also fluctuated but closed higher. Republic National Bank of New York said gold was bid at $343 an ounce as of 4 p.m. EDT, up from $341.50 late Thursday.

Analysts said the dollar’s early strength was caused partly by speculation that the United States and its major non-communist trading partners, which will convene a three-day summit in Tokyo starting Sunday, may agree on joint measures to stabilize the U.S. currency.

John Lipsky, a foreign exchange trader for Salomon Bros., said: “Obviously, people are keeping their positions in front of the summit. Everyone will be watching closely to see if they produce a dollar-stabilization agreement. If they don’t, we can expect to see renewed pressure on the dollar.”