The dollar continued its fall against the yen in Tokyo yesterday, and with the exception of the British pound, lost ground against all other major European currencies in active trading. Gold and silver rose.
In Tokyo, the dollar opened at 214.70, and reached a high of 214.75 before closing at 213.10 yen, down from Tuesday's close of 217.80. The Bank of Japan did not intervene, dealers said. In New York, the dollar closed at 213.99 yen, up slightly from 213.53.
Satoshi Sumita, governor of the Bank of Japan, said yesterday that the yen should continue to advance against the dollar. "It is important that the present foreign exchange situation should develop further," Sumita said.
The yen has already acquired considerable strength since the major industrial nations that comprise the so-called Group of Five agreed to implement a coordinated program aimed at lowering the value of the dollar. Analysts believe that Japan would like to see the yen at the 210-to-200 mark by the start of the International Monentary Fund meeting about to get under way in Seoul.
London was the only major European market where the dollar gained. It rose slightly to $1.4128 per pound, compared with Tuesday's close of $1.4135, and in New York it was down to $1.4171 from the previous close of $1.4116.