By Cornelius Luca
New York, June 4 (BridgeNews) - One day after sinking to a six-month low of 84.31 cents, the euro marked a four-day high of 85.38 cents to the dollar as traders realized profits on their short positions. The dollar followed a similar route against the yen, climbing to a four-day high of 119.86 after bottoming out Friday at a three-month low of 118.30. Faced with a light U.S. event agenda, trading will be biased toward position squaring.
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While dollar/Swiss franc followed euro/dollar by slipping to a four-day low of 1.7830, sterling/dollar bucked Monday's rebounding pattern of the European currencies and slipped within Friday's range as euro/sterling rebounded on short covering. Dollar/Canada also declined within the previous day's range.
The U.S. financial calendar includes a speech by Federal Reserve Bank of Dallas President Robert McTeer and the May Challenger monthly layoff report.
Traders will be on lookout to see whether McTeer will alter his general bleak outlook of the U.S. economy and if the Challenger monthly layoff report matches the better-than-expected U.S. jobless data.
U.S. traders might also take heart from Federal Reserve Chairman Alan Greenspan's overnight comments that he sees few signs of inflationary pressure in U.S. "at the moment" as increasing energy and unit costs have been absorbed by companies, and have not yet been passed on to consumers. His position suggests that the Fed remains open to further interest rate cuts this month to deal with the weakness in the domestic economy.

Current Previous Change Global Global
NY open NY close low high

USD/JPY 119.76 119.25 0.51 118.85 119.86
EUR/USD 0.8513 0.8468 0.0045 0.8461 0.8538
EUR/JPY 101.97 100.90 1.07 100.80 102.30
GBP/USD 1.4172 1.4199 -0.0027 1.4178 1.4211
USD/CHF 1.7874 1.7970 -0.0096 1.7830 1.7970
USD/CAD 1.5323 1.5350 -0.0027 1.5295 1.5365
AUD/USD 0.5096 0.5086 0.001 0.5075 0.5110
NZD/USD 0.4121 0.4095 0.0026 0.4090 0.4131
SP.1 1266.40 1.40 1260.50 1269.90
ND.1 1866.00 14.50 1834.50 1875.50