Foreign Exchange for Wednesday, Oct. 1, 1986 : Dollar Is Steady in Quiet Trading

The dollar held steady against major foreign currencies in quiet trading on Wednesday. Gold prices moved lower. Bullion was quoted at $425 an ounce at Republic National Bank in New York, down $1 from Tuesday’s bid.

James McGroarty, a vice president of Discount Corp. of New York, said: “All in all not a lot going on today, unlike other days when the dollar was buffeted one way or the other by statements of our monetary and West German authorities.”

“Today we had a lot of statments,” he added. But “people are a little fearful to take positions until a trend emerges, giving us a direction one way or the other.”

Treasury Secretary James Baker voiced frustration on Wednesday over the continued refusal of America’s trading partners to do more to spur their economies.

Addressing the annual meeeting of the International Monetary Fund and World Bank, Baker reiterated the Administration’s contention that more open markets and increased growth abroad are needed to extinguish protectionist fires at home.