Dollar Makes Some Gains in Quiet Holiday Trading

The U.S. dollar ended narrowly mixed Monday in European trading becalmed by a U.S. holiday.

Gold prices were mixed.

Dealers said the absence of U.S. markets because of the Labor Day holiday encouraged European players to spend the day on the sidelines and left the dollar without a direction.

They said sentiment remained bullish, however, and several dealers expected the dollar to resume its rise today.

In Tokyo, where trading ends before Europe’s business day begins, the dollar rose to a two-month high against the Japanese yen despite intervention by the Bank of Japan.

It closed up 0.68 yen at 146.13 yen. Later, in London, it was quoted at 145.94 yen.

In London, the dollar rose slightly against the British pound. It cost $1.5532 to buy one pound, compared to $1.5565 late Friday.

Other late dollar rates, compared to late Friday included: 1.9780 West German marks, down from 1.9785; 1.7085 Swiss francs, unchanged from 1.7085; 6.6725 French francs, up from 6.6700; 1,417.50 Italian lire, up from 1,413.50, and 1.1815 Canadian dollars, down from 1.1817.

In London, gold prices traded at $359.00 an ounce, up from late Friday’s $358.50.

In Zurich, the bid price was also $359.00, compared to $358.40 late Friday.

Earlier, in Hong Kong, gold fell 32 cents to close at a bid $359.50.

Silver was quoted in London at a bid price of $5.05 an ounce, compared to Friday’s $5.06.