Dollar Mixed as Investors Await Trade Deficit Figures

The dollar was mixed against the major foreign currencies Friday as investors turned their sights toward trade deficit figures to be released next week.

Gold prices were also mixed. Republic National Bank of New York quoted a late bid of $422.50 for an ounce of gold, up from $421.30 late Thursday, but the metal declined in overseas trading.

Dollar trading was lackluster as investors squared their positions in advance of the weekend and Wednesday’s scheduled release of balance of trade figures for October.

Jack Barbanel, a market analyst for Gruntal & Co., predicted that the dollar would remain stable until the report is released.

Overseas, dealers said the dollar was pressured lower by strength in the West German mark. They said the mark rose amid speculation that the Bundesbank would raise its Lombard rate by a half percentage point, to 5.5%.

The Lombard rate is the interest the central bank charges commercial banks for supplemental borrowings in which securities are used as collateral.

In Frankfurt, the dollar slipped to 1.7330 marks from 1.7420 late Thursday. In New York, it fell to 1.73525 marks from 1.73865.