U.S. Dollar Scores Narrow Gains Against Mark, Yen, Pound ---- Special to The Wall Street Journal
NEW YORK -- The dollar, boosted occasionally by cross trading among European currencies, floated in a narrow range as dealers squared positions ahead of today's report of the U.S. August producer price index.</br></br>In late New York trading, the dollar was at 1.8447 marks, up marginally from 1.8431 marks late Wednesday in New York. The dollar also traded at 133.58 yen, somewhat above 133.47 yen in New York late Wednesday. The pound traded at $1.7005, down from $1.7075.</br></br>The dollar opened Friday's trading in Tokyo at 133.35 yen.</br></br>Some dealers said the dollar may rally if the producer price index is above general expectations of a 0.5% gain. A strong figure, they said, might revive speculation about another rise in U.S. interest rates. But "the number has to be pretty high to get the market going for the dollar -- probably something around 0.7%," said a trader with Shearson Lehman Hutton Inc. in New York.</br></br>The market would also have to shrug off comments yesterday from U.S. Assistant Treasury Secretary David Mulford. Mr. Mulford said that the Reagan administration recognizes the market's concern that the dollar's increase following the rise of the U.S. discount rate last month could hamper the improvements of the U.S. trade deficit. Those remarks were viewed in some quarters as meaning a strong further rise wouldn't be welcomed.