Global Stock Market Mixed as US and Japan Intervene on Yen

The global stock market was mixed on Monday after the US and Japan intervened to prop up the value of the Japanese yen against the US dollar. The dollar dipped to near 155.20 yen after President Donald Trump confirmed that the US had acted to curb its rise to 40-year highs against the yen.

A weak yen boosts the profits of Japanese companies with big operations overseas, increasing their value in yen terms. However, a cheap currency also weakens Japan's purchasing power overall, pushing up costs for imports of oil and other essential goods.

The US Treasury bought yen through the Federal Reserve Bank of New York to help boost its value. Analysts said this was a strong signal that Washington is prepared to stand on the same side of trade as Tokyo.