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Dollar resting

NEW YORK: The dollar lazed at slightly lower yen levels at midday after sagging from a fresh 26-month high and a flirtation with its 1996 mark peak.

Selling near 1.4940 marks and 108.33 yen capped Tuesday's early dollar surge which followed reported remarks by both Japan's Eisuke Sakakibara, director-general of the Finance Ministry's International Finance Bureau and

Bundesbank President Hans Tieymeyer.

"Interbank profit-taking pushed it off the highs in US", said Susan Stearns, a director at Bank of Montreal. "Interest is beginning to emanate out of Europe around 1.4950 marks".

At midday, the dollar stood at 108.13/18 yen, slightly off its 108.25/35 open and unchanged at 1.4915/25 marks.

Sakakibara reportedly said in a Tokyo speech Tuesday that the MOF will concentrate on opening the foreign exchange markets in its next step towards internationalizing Japan's financial markets. He also was reported to have recommended Japan's financial institutions become more global in scope.

The dollar's renewed vigor comes on the heels of a nearly 2-point plummet of the 30-year US Treasury bond price Friday, following the 140,000 rise in March non-farm payrolls, and yesterday's subsequent 89 point drop in the Dow Jones Industrial Stock Average.-Reuter