BANK OF FRANCE BUYS DOLLARS, SELLS YEN - DEALERS
The Bank of France intervened on the
market to buy dollars and sell yen to support the U.S.
Currency, dealers said.
    A major French bank said it acted for the central bank in
buying between five and 15 mln dlrs against yen.
    A dealer at another bank said his bank had been asked to
publicise the intervention, to send a clear signal to the
markets that central banks were acting in concert to maintain
the exchange rates agreed to be appropriate at last month's
meeting of the Group of Five and Canada in Paris.
    The dollar was being quoted at 6.0950/70 francs in early
afternoon dealings after a fix of 6.09425 francs.
    The major French bank said it sold yen at a rate of 149.28
against the dollar.
    The U.S. Currency was subsequently being quoted at
149.25/35.
    The Bank of Japan was reported in the market overnight to
bolster the credibility of the Paris accord following several
days of pressure against the dollar.
    Pressure developed after U.S. Treasury Secretary James
Baker repeated earlier statements that the Reagan
administration had no targets for the dollar, apparently
undermining the assumption that the agreement in Paris had
fixed broad fluctuation ranges for major currencies.
    Baker later said his remark had been misinterpreted.
 REUTER
