Dollar gets lift from Clinton's call for Germany to reduce interest rates
NEW YORK -- The dollar leapt higher Wednesday -- particularly against European currencies -- propelled by President Clinton's call for the Deutsche Bundesbank to lower German interest rates.</br></br>The remarks had extra impact because the foreign exchange market is bullish on the U.S. currency and was experiencing end-of-the-month thinness, traders said.</br></br>Late in New York, the dollar was quoted at 1.7035 marks, up from 1.6885 marks late Tuesday in New York. The U.S. currency also was changing hands at 107 yen, up from 106.50 yen. Sterling was trading at $1.4920, down from $1.5125.</br></br>About midday Thursday in Tokyo, the dollar was trading at 107.85 yen and at 1.7072 marks.</br></br>Traders said the market is divided about the likelihood of a cut in German interest rates when the Bundesbank's policy-setting Central Bank Council meets today. The proximity of Clinton's comments to that gathering was also a factor in influencing the market, they said.