Central Banks Intervene to Weaken Yen After Post-Quake Surge

Central banks intervened in currency markets to weaken the yen after it soared to the strongest against the dollar since World War II, threatening Japan’s recovery from its worst earthquake on record.

“In response to recent movements in the exchange rate of the yen associated with the tragic events in Japan, and at the request of the Japanese authorities, the authorities of the U.S., the U.K., Canada, and the European Central Bank will join with Japan, on March 18, 2011, in concerted intervention in exchange markets,” the Group of Seven said today in a statement.