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IMM currency futures end

uneventful trade stronger

CHICAGO: IMM currency futures ended stronger after another session of largely uneventful trade.

Sterling again popped up near the close as a big retail buyer, who earlier was seen doing 4,000 futures contracts roundturn plus thousands of out-of-the-money options, bought and lifted June futures to day's high, traders said.

Moderate-size fund buying, which traders said might be position covering, entered late in June Swiss Francs and kept them buoyed.

Traders elsewhere focused on Thursday's Bundesbank council meeting and chances for a German rate cut.

They said sentiment appeared to shifting toward no change on Thursday in German rate policy, with some traders thinking the German central bank will wait to see March M3 money supply figures that might not be released by Thursday.

Sterling puzzled some traders and analysts by showing muted upside response to an unexpectedly large drop in March UK unemployment.

Nor did it react much to minutes from the March 7 meeting between UK chancellor Kenneth Clarke with Bank of England governor Eddie George which showed that Clarke stood ready to raise interest rates later this year if that proved necessary.

The market also glossed over comments from US Fed Gov. Lawrence Lindsey, who reiterated he sees "soqqy" US economic growth but a low risk of recession and that US consumer debt is too high.

Nor did remarks by San Franciso Fed President William Parry or slightly weaker-than-expected March US housing starts rouse the market.

Yen settled into a range after swinging overnight on a rumour, later denied, that US Treasury deputy secretary Lawrence Summers had said the United States would tolerate a dollar rise to 110 to 115 yen.

June yen ended down $0.000007 at $0.009312, marks rose $0.0014 to $0.6662, Swiss francs added $0.0010 to $0.8195, Sterling rose $0.0018 to $1.5084, Canadian dollar firmed $0.0006 to $0.7372, Aussie dollar rose $0.0001 to $0.7835, and Mexican peso rose $0.000150 to $0.128350.-Reuter