Dollar Prices Mixed in Europe; Gold Climbs : Little Activity in Foreign Currency Markets Because of Trading Halt in Japan for Holiday

The U.S. dollar gave a mixed performance in thin European trading today. Precious metals rebounded, with gold bullion rising above $450 an ounce.

Foreign exchange dealers attributed the lack of activity to the closing of Japanese markets today for a national holiday.

The dollar was up against most key currencies in early trading, but some profit taking drove it back down, dealers said. It ended the session lower against the West German, British and Canadian currencies, compared to Tuesday’s late rates.

Dealers said the dollar was unaffected by the U.S. Commerce Department’s announcement that the nation’s main forecasting gauge of economic activity rose 0.4% in March.

“Nobody is looking at these kind of figures these days,” said a dealer at a large West German bank in Frankfurt.

In London, the dollar rose to 140.90 Japanese yen, up from Tuesday’s close in Tokyo of 139.45 yen.

The British pound edged up to $1.6565 from $1.6525 despite Tuesday’s announcement by Britain’s four main banks that their base interest rates were being cut from to 9.5% from 10%.

Other late dollar rates in Europe, compared to late Tuesday: 1.7950 West German marks, down from 1.7990; 1.4790 Swiss francs, up from 1.4677; 6.0000 French francs, up from 5.9925; 2.0270 Dutch guilders, up from 2.0265; 1,288.00 Italian lire, up from 1,283.50, and 1.3345 Canadian dollars, down from 1.3348.

Gold prices steadied in moderately active trading after several days of wild fluctuations caused by speculative trading.

In London and Zurich, gold rose to $451.50 an ounce, up from $449 bid in London and $447.50 bid in Zurich late Tuesday.

Earlier, in Hong Kong, gold fell to a closing bid of $450.48, down from $452.63.

Silver jumped to $7.90 an ounce from $7.75 bid late Tuesday.