$US firm in late trading

Press, 16 May 1985, Page 30

$US firm in late trading

PA Wellington The U.S. dollar firmed in late afternoon trading to its high for the day at 3.0545/65 marks on the Wellington foreign exchange market yesterday, compared with its 3.0400/30 opening and its 3.0490/10 close in New York, dealers said. Dealers said there was a lot of late activity out of New York, and one said he expected New York banks to sell the U.S. dollar down again overnight. Sterling was at $U51.2665/75 compared with its 1.2700/10 opening and 1.2705/15 close in New York, while the yen was unchanged from its opening at 250.10/20 compared with 250.00/15 in New York. The New Zealand dollar was at $U50.4530/37 from 0.4533/42, while the Reserve Bank indicative exchange rate index rose to 60.9 from 60.7 this morning. Before the float the index was at 62.7.

The Australian dollar closed at ?U50.6930/40 compared with its 0.6955/65 opening.

Earlier, the U.S. dollar had drifted lower in the U.S. in an erratic session as interest rates fell in the United States.

Gold prices were mixed, rising in Hong Kong and Europe but falling in late trading in the United States as traders sold the metal to cash in on its recent gains. On Monday the U.S. dollar fell sharply, and gold staged its biggest advance in nearly two months in a response to problems that led to the appointment of conservators for two savings and loan associations in Maryland. But there was no further fall-out reported in currency or bullion markets on Tuesday.