Even as it publicly presses China to let its currency rise in value, the Bush administration has quietly softened a crucial demand.

They cited British press speculation that the Government was willing to see the value of the currency rise about 5 percent.

The buyer then knows exactly how many dollars the foreign currency will cost and will hardly be affected whether the value of the foreign currency rises or falls.

Pushing China to let its currency rise against the dollar, as Treasury Secretary John W. Snow has been doing, would help American producers by making Chinese imports more expensive and American exports cheaper.

The dollar actually closed higher yesterday, but only after a zigzag session that saw the currency rise in the early going, fall sharply in the middle of the day, and later climb slightly.

At the same time, the government is pressuring China to let its currency rise against the dollar, a move that would make Chinese imports more expensive in the United States.

The group adopted that position at its meeting last year in Dubai, largely because the United States wanted to push China to let its own currency rise in value against the dollar and other currencies.

Manufacturers, as well as Democratic leaders in Congress, are threatening to impose trade barriers or sanctions on Chinese goods if China does not let the value of its currency rise.

As their money comes in, the thinking goes, confidence is restored and the value of the local currency rises.

A string of economic indicators suggests that China has tempered recent growth and inflation, an achievement that could make it more reluctant to let its currency rise soon.