European Stars And Stripes (Newspaper) - October 21, 1987, Darmstadt, Hesse                                Page 28 the stars and stripes wednesday. October 21,19b7 Buck higher after Baker visit to Germany from Page 1 drive he Dollar Down against the Mark in response to a recent Rise in German interest rates. The Treasury Secretary in an inter View with the new York times also accused Germany of breaking with last year s louvre agreement in which the leading a siem countries pledged to support the Dollar Al prevailing foreign Exchange Rales. The Dollar reacted to Baker s weekend comments by dropping to 1,774 Marks in trading monday. However word of monday night s meeting Between Baker finance minister Gerhard Stol in Borg and Bundesbank chief Karl Otto Poehl boosted the Greenback to 1.791 Marks by close of trading tuesday. Mil itary Exchange rates appear on Page 27. Ii is briefs a release circulated by he finance ministry tuesday characterized the meeting As  the participants agreed to continue the economic cooperation called  in the louvre agreement and to apply this flexibly including cooperation in the stability or foreign Exchange rates and monetary policy it said. In a press conference in Bonn tues Day so Ollenberg dismissed charges levied by some analysts that Baker s com ments were responsible for monday s dramatic decline on world Slock markets. He said the escalation in the persian Gulf conflict and the Rise of . Interest rates were behind monday s 508-Poinl drop in lie Dow Jones Industrial aver age United press International reported. Despite Stoltenbert s comments cur Rency traders remained uneasy tuesday concerning he future of the Dollar. We re looking for assurances and no one is giving any a banker said. The traders generally agreed that Ger Man interest Rales would Rise in response to rate hikes in America whatever the threats from Baker. Germany does not Lead the Way in raising interest Rales. The United slates leads the Way. German rates merely Fol Low International patterns a trader said. One German banker predicted thai the Market would remain unstable prob ably declining slowly until after next year s . Presidential election. After that everything should Calm Down. Things should come Back to reality he said. You also have to wonder about the political motivation behind or. Baker s comments to the times the Banket said America has growing inf Lal Ion Ris ing interest rates and deficit problems thai s not � very Good background for the coming election he Baker has to ind someplace to put the  there also is a general belief that the Market is testing Central Bank resolve on keeping the Dollar in the ranges agreed to at the louvre meetings. Although such ranges have never been publicly announced most financial experts believe a target of  to 1.90 Marks to the Dollar was agreed upon. Several traders said the Market was trying to test the Central Banks at lower Levels with the Hope of pinpointing the louvre targets. Obviously there s a certain value to knowing the Bundesbank is buying at 1.80 Marks and Selling at 1.90 Marks a banker said. Ramstein Pilot Dies after midair collision Ramstein a Germany is the Pilot of the f ofic involved in a midair collision with an f-5 North of Saar Bruecken monday has died base officials said tuesday. La. Col. Richard s. Allain it 39, of the 526lh tac fighter set at Ramstein died monday at the Lubach Hospital in Saa Bruecken said senior airman . Van Dame a base spokeswoman. U. Col. James Wisdom of the 527