LONDON, 4 February 2004 — Major currencies remained rangebound in late trade yesterday, with the dollar failing to recover after its initial plunge following renewed fears of terrorist activity, dealers said.
The single European currency surged to $1.2560 from $1.2422 late on Monday in New York. The dollar slipped to 105.36 yen from 105.56 on Monday.
The US currency weakened on news that authorities had closed three US Senate office buildings after toxic ricin powder was found in a mail facility, an incident that raised fresh terrorism fears.
The Senate finance committee meeting where US Treasury Secretary John Snow was due to testify was also postponed.
The euro was changing hands at $1.2560 from $1.2422 late on Monday in New York, 132.29 yen (131.17), 0.6834 pounds (0.6824) and 1.5680 Swiss francs (1.5674). The dollar stood at 105.36 yen (105.56) and 1.2490 Swiss francs (1.2614).
On the London Bullion Market, the price of an ounce of gold stood at $401.45 against $398.35 late on Monday.
Meanwhile, European stock markets drifted mostly lower yesterday. London’s FTSE 100 index rose 0.21 percent to close at 4,390.6 points, but in Frankfurt, the DAX fell 0.35 percent to 4,057.51 points, while in Paris the CAC 40 dropped 0.73 percent to 3,638.21 points. The DJ Euro Stoxx 50 index of leading eurozone shares shed 0.44 percent to 2,841.26 points.
In Amsterdam the AEX index fell 1.05 percent to 351.74 points, the Swiss SMI was off 0.92 percent at 5,735, in Milan the Mib 30 shed 0.74 percent to 27,583, in Madrid the Ibex-35 won 0.02 percent to 7,960.3 and in Brussels the Bel-20 closed 0.66 percent lower at 2,390.09.
The Dow Jones Industrial Average was up 26.15 points, or 0.25 percent, at 10,524.44. The broader Standard & Poor’s 500 Index gained 0.15 points, or 1.68 percent, at 1,136.80.
The technology-laced NASDAQ Composite Index rose 7.23 points, or 0.35 percent, at 2,070.37.