Dollar Declines in Europe; Price of Gold Mixed

The U.S. dollar closed mainly lower in European trading today with dealers remaining skeptical about the performance of the American economy. Gold prices were mixed.

In Tokyo, where trading ends before Europe’s business day begins, the dollar fell to a closing 161.57 Japanese yen from Thursday’s 161.65. Later, in London, it was quoted higher at 162.05 yen.

Other late dollar rates in Europe, compared to late Thursday were: 2.0125 West German marks, down from 2.0150; 1.6685 Swiss francs, unchanged; 6.5925 French francs, up from 6.5825; 2.2745 Dutch guilders, down from 2.2842; 1,394.00 Italian lire, down from 1,400.50, and 1.38425 Canadian dollars, unchanged.

In London, the dollar lost ground against the British pound. It cost $1.42925 to buy one pound, compared to $1.4255 late Thursday.

The price of gold rose $1 an ounce in Zurich, closing at a bid price of $408.50.

But in London, the precious metal was quoted in late trading at $407.75, down from $408.

Earlier, in Hong Kong, gold rose to $407.43 from $405.27.

Silver was quoted in London at a bid price of $5.81 an ounce, up from Thursday’s $5.78.