FINANCIAL MARKETS : CURRENCY : Dollar Mixed in Jittery Trading
The dollar fell against the West German mark but gained on the Japanese yen in nervous trading before today’s release of U.S. employment data and this weekend’s meeting of the Group of Seven industrialized countries in Washington.
Talk of heavy institutional buying of dollars for yen pulled the U.S. currency higher, traders said. The dollar buying occurred despite a senior U.S. official’s comment that the United States is still concerned about the yen, which has dropped sharply this year.
The dollar ended at 1.6830 West German marks, down from 1.6850 on Wednesday and at 158.10 Japanese yen, up from 157.95.
Dealers said uncertainty about the inflationary impact of German unification made trading in West German marks choppy and unfocused.
The British pound fell to $1.6390 from $1.6430 at Wednesday’s close. Against its Canadian counterpart, the dollar fell to $1.1660 Canadian, compared to $1.1675 Canadian on Wednesday.
The dollar bought 1.4550 Swiss francs, against 1.4545 on Wednesday, and 5.6465 French francs, compared to 5.6535 francs.