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IMM currency futures

move both ways

CHICAGO: IMM currency futures ended mixed after trade jumped to life late in the session on Friday, with marks and Swiss franc futures rising late in the day.

The late gains in marks were tied to resignation of French Finance Minister Alain Madelin.

Earl Johnson, who trades spot currency at the Bank of Montreal, said that French francs fell on the news of the resignation, in turn supporting the mark.

On the IMM, the September mark futures contract was able to recover some ground lost earlier and could be poised for further near-term gains, analysts said.

Bank of Montreal's Johnson said that markets on Friday were thin, however, and the dollar still looked strong above 1.4650 marks.

Technically, September marks may have more room to the upside, said Ken Boyer, currency analyst at MMS International.

He said on Thursday that marks staged a key reversal, and that today further gains in the cotract could set the stage for a corrective tone next week.

"It looks like we have bottomed out on a very short-term basis," Boyer said, adding it was possible September marks could move above $0.6835, possibly getting up to $0.6900.

Swiss francs, which were also strong on Friday, were seen well-positioned for further gains as well, after the September franc contract moved above $0.8248.

Boyer called that level "the trigger" for a two-week double botton reversal in Swiss francs.

The next major objective for Swiss francs could be the $0.8330 level.

September yen spent a quiet day in narrow ranges, giving up some ground late in the day as markets strengthened.

Prices at settlement - September marks up $0.0021 at $0.6798, Swiss francs up $0.0055 at $0.8265, yen down $0.00023 at $0.010368, Canadian dollars up $0.0041 at $0.7431, British pounds up $0.0034 at $1.5464, and Australian dollars up $0.0038 at $0.7435. Mexican peso futures ended up $0.000050 at $0.155600.-Reuter