Dollar Rallies From Record Low

The dollar surged Wednesday after hitting a record low against the Japanese yen in Asia, rising in what traders called a corrective rally fueled by large investment funds that bought the U.S. currency.

The government’s report of an unexpectedly sharp narrowing of the U.S. trade deficit in February appeared to have little impact on the dollar, traders said. While such news generally is positive, since it means foreign companies have fewer dollars to sell, the market shrugged off the improvement as a short-term phenomenon and focused instead on the stalemated U.S.-Japan trade talks.

In late New York trading, the dollar was quoted at 1.3720 German marks, up from 1.3538 late Tuesday.

Canada .7286 1.3725 France .2071 4.8290 Germany .7329 1.3645 Great Britain 1.6110 .6207 Italy .000585 1708.00 Japan .012285 81.40 Mexico .164474 6.0800