Bentsen’s Talk Hits Dollar Hard

The dollar ended mostly lower Friday, hurt by further strength in the British pound and a warning from ex-Treasury Secretary Lloyd Bentsen that a more expensive U.S. currency could hurt American exporters.

“Bentsen’s comments started a sell-off,” said Riccardo Gomes, managing director of foreign exchange at Republic National Bank in New York. “He may not be a spokesman for the government, but the market took it that way.”

Rising interest in the Canadian dollar also hurt the dollar, drawing investor money into Canadian assets. The Canadian dollar is now at the highest level since Quebec voters narrowly defeated a secession referendum a year ago.