The U.S. dollar chalked up huge gains against all major currencies yesterday as international money sought the "haven" currency that as a bonus pays near 20 percent interest rates.
The dollar eased in New York, however, as some nervousness surfaced over the U.S. money supply report to be released today.
Gold closed at $477.50 an ounce in both Zurich and London, a $7 loss in Zurich and a $6 decline in London. In New York gold rose to $483 from $480 Wednesday. The Comex settled gold at $483.40, up from $478.40.
Silver did not participate in gold's rally, dropping to $10.875 an ounce from $10.95. It settled at $10.887, compared with $10.965.
The French franc plummeted anew despite massive intervention by the Bank of France. In Paris the dollar rose to 5.55625 francs from 5.52 the day before although it eased to 5.5450 in New York.
The pound plunged to $2.0675 from $2.0785 then recovered to $2.0755 in New York.
On other markets the dollar rose: in Zurich to 2.0835 Swiss francs from 2.0710; in Brussels to 38.73 Belgian francs from 38.47 francs; in Milan to a new record 1,148.56 lira from 1,138.20. In late afternoon U.S. trading the dollar eased to 2.0650 Swiss francs, 37.55 Belgian francs and 1,147 lira.
In Tokyo the dollar soared to 221.80 yen from 219.35 yen and was trading at 221.60 yen in New York.