Asian Markets Slide Amid US-Japan Currency Intervention

Asian stock markets mostly declined on Tuesday despite the rally on Wall Street, where oil prices eased and boosted US stocks. The joint US-Japan currency intervention weighed heavily on regional investors' minds.

The Nikkei 225 index in Japan slipped 0.6% to 63,369.85, as the US dollar edged up to 157.63 Japanese yen from 157.18 yen. The euro cost $1.1511, little changed from $1.1514. The dollar was trading at 160-yen levels before the intervention.

Analysts questioned the effectiveness of the intervention, pointing out that it doesn't address the fundamental economic reasons behind currency fluctuations, such as inflation, interest rates, and relative economic strengths.

Some experts see a positive impact from the joint effort, however. 'This is an historic and meaningful development for the yen, which materially improves confidence in our mildly bullish call for the currency,' said Matthew Ryan, head of market strategy at Ebury.