Updated at 3:15 p.m., Monday, December 24, 2007
Dollar mixed in foreign exchange trading
Associated Press
NEW YORK — The dollar was mixed Monday following hints from the European Central Bank that it would act to stem inflation.The euro bought $1.4405 in late New York trading, up from $1.4358 Friday.
The slight gain came after Jean-Claude Trichet, president of the European Central Bank, warned late last week that it would not tolerate any second-round increases in inflation, a sign traders took as a firm resolve to keep inflation in check.
The euro also seemed immune to Trichet's concern about weaker growth in 2008.
"It is true there are major uncertainties with regard to the economic situation," Trichet told broadcaster EuroNews on Friday. "The council of governors of the ECB feels that there is a greater risk of weaker growth, with it going below around 2 percent."
The pound drifted lower to $1.9779 from $1.9828.
In other trading, the dollar edged up to 1.1568 Swiss francs from 1.1564 francs, and rose to 1.0111 Canadian dollars from 1.0075 Friday.
Meanwhile, the U.S. currency rose to 114.32 yen from 114.08 yen.
