Attempt To Drive Up Dollar Falters

The dollar fell moderately Wednesday against other major currencies after traders, seeing improved prospects for an interest rate hike, failed in their attempt to take the U.S. currency higher.

The government’s report of a fourth straight monthly increase in retail sales during September raised the foreign exchange market’s expectations of a rate increase by the Federal Reserve.

So some currency traders, expecting that a rate increase would lend support to the dollar, began bidding it upward. But with few takers, the greenback was unable to break through the 1.7560 German mark level.

Exchange Currency in Dollars Dollar in foreign currency Canada .7215 1.3860 France .1707 5.8575 Germany .5722 1.7475 Great Britain 1.6239 .6158 Italy .000586 1707.50 Japan .008254 121.16 Mexico .129550 7.7190