Fed Action Gives Dollar A Boost

The dollar bumped higher against major currencies Tuesday after the Federal Reserve’s interest-rate cut was seen as a token measure.

Typically, lower interest rates would hurt the dollar, but the Fed chose to lower a short-term rate by a quarter point rather than a half and left alone the more influential discount rate.

In late New York trading Tuesday, the dollar was quoted at 1.4410 German marks, up from 1.4290 late Monday. The dollar also was changing hands in New York at 101.96 yen, just up from 101.52.

Exchange Currency in Dollars Dollar in foreign currency Canada .7271 1.3754 France .2018 4.9555 Germany .6940 1.4410 Great Britain 1.5415 .6487 Italy .000627 1594.25 Japan .009808 101.96 Mexico .131062 7.6300