[{"text": "The dollar weakened in indecisive trading as foreign-exchange dealers awaited fresh economic news that they hope will jolt the U.S. unit out of its narrow ranges."}, {"text": "The Canadian dollar climbed to its highest level against the U.S. dollar since late August, prompting the Bank of Canada to sell the Canadian currency on the market."}, {"text": "Traders say that after a week of nervously tracking every development on Wall Street, the foreign-exchange market has settled back to catch its breath ahead of new U.S. economic data."}, {"text": "They noted, however, that a 26-point drop in the Dow Jones Industrial Average gave the dollar a sharp nudge downward late in the day."}, {"text": "In late New York trading yesterday, the dollar was quoted at 1.8470 marks, down from 1.8578 marks late Friday, and at 141.90 yen, down from 142.43 yen late Friday."}, {"text": "Sterling was quoted at $1.6030, up from $1.5885 late Friday."}, {"text": "In Tokyo Tuesday, the U.S. currency opened for trading at 141.80 yen, down from Monday's Tokyo close of 142.40 yen."}, {"text": "The market's attention is especially focused on a preliminary report on the U.S. third-quarter gross national product, due out Thursday, which could show the economy is continuing to expand at a relatively brisk pace."}, {"text": "The consensus view on real GNP, the total value of the U.S. output of goods and services adjusted for inflation, calls for a 2.3% gain on an annual basis, slowing somewhat from the second quarter's 2.5%, but still fairly strong."}, {"text": "Few market participants expect the U.S. unit to rally sharply on the news, if it turns out as expected."}, {"text": "Many contend that the report may overstate the economy's health and predict the third-quarter figures may be the last vigorous statistics for some time to come."}, {"text": "'Everyone is waiting for GNP,' says Walter Simon, an assistant treasurer with Bank Julius Baer & Co. 'Yet even a relatively strong number -- 2.8% to 2.9% -- won't alter the market's view that the economy is softening.'"}, {"text": "Hubert Pedroli, managing director of foreign exchange at Credit Suisse in New York, adds, 'The market sees this as the last piece of good news.'"}, {"text": "Mr. Pedroli notes that the GNP deflator, a measure of inflation, is expected to slow, which would give the Federal Reserve more room to ease key U.S. rates."}, {"text": "Analysts predict a 3.5% rise in the deflator, after climbing 4.6% in the second quarter."}, {"text": "They note that when an unexpectedly sharp widening in the U.S. trade gap in August was reported earlier this month, hopes for a sustained narrowing of the trade deficit were dashed and sentiment gripped the market that the U.S. economy was losing its momentum."}, {"text": "A 190-point plunge in U.S. stock shares compounded the view, they say."}, {"text": "'Everyone is extremely convinced the economy is slowing,' says one senior New York dealer. 'If we're not headed for a recession, we're certainly headed for a major slowdown.'"}, {"text": "While the market expects little reaction from news of U.S. durable goods orders, scheduled for release today, participants note that the figures will probably serve to reinforce this bearish sentiment."}, {"text": "U.S. durable goods orders are expected to show a decline of 1.2% in September, according to economists."}, {"text": "The anticipated drop follows a 3.9% rise in August."}, {"text": "Traders, however, are quick to point out that while there is little enthusiasm for buying dollars, the U.S. unit has found a 'natural bottom' at about 1.85 marks and 140 yen."}, {"text": "Its resilience around these levels is pegged to persistent investor demand for the greenback, especially in Japan."}, {"text": "On the Commodity Exchange in New York, gold for current delivery settled at $367 an ounce, down 30 cents."}, {"text": "Estimated volume was a very light one million ounces."}, {"text": "In early trading in Hong Kong Tuesday, gold was quoted at $366.79 an ounce."}]