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Dollar steady vs yen

NEW YORK: The dollar was steady against the yen and higher against the mark at midday after opening sharply lower on fears Bank of Japan could raise rates soon.

News that a plane carrying U.S. Commerce Secretary Ron Brown from Bosnia to Croatia crashed had little immediate effect on the dollar, although some traders said it reinforced support for the U.S. currentcy.

"The dollar seemed to stop 1.4775 marks and seemed to go up from there," Wertheimer said.

At midday the dollar rose to 1.4790/95 marks after opening at 1.4779/86. Against the yen it was steady at 106.88/98 versus 106.82/89.

Overnight, comments by Bank of Japan Governor Yasuo Matsushita that rising interest rates were natural in view of expectations of Japan's economic recovery triggered a self-off from 107.97 yen.

The dollar found buying interest in New York after dipping to around 106.50/60 yen, and rose on short-covering from there, traders said.

The dollar/mark struck strong support at 1.4770 and moved up from there, Gabriel Grippo, chief dealer at Credit Agricole, said.

The South African rand, manwhile, dipped to 4.14 from around 4.00 overnight on worries newly appointed Finance Minister Trevor Manuel will abolish foreign exchange controls, David Ogg, foreign exchange manager at Midland, said.

It was Canadian $1.3565/70 against C$1.3560/65.

Sterling was $1.5259/66 at midday against $1.5264/71.-Reuter