LONDON, 7 September 2006 — The dollar gained on the euro yesterday, taking advantage of recent declines in oil and gasoline prices, while the pound came under pressure on heightened speculation that British Prime Minister Tony Blair would resign within a year.
The European single currency dipped to 1.2784 dollars in late European trading from 1.2820 dollars late in New York on Tuesday. The dollar rose to 116.70 yen, from 116.03 yen late on Tuesday. Meanwhile the euro dropped to 149.21 yen from 148.78 yen.
The euro was changing hands at 1.2784 dollars against 1.2820 on Tuesday, 149.21 yen (148.78), 0.6794 pounds (0.6765) and 1.5824 Swiss francs (1.5813). The dollar stood at 116.70 yen (116.03) and 1.2375 Swiss francs (1.2333).
On the London Bullion Market, the price of an ounce of gold fell to $635.40 per ounce, from $637.75 late on Tuesday.
Meanwhile, European stock markets fell sharply yesterday,
In New York, at midday, the Dow Jones Industrial Average was down 51.95 points, or 0.45 percent, at 11,417.57.
