Japan's earthquake ripple effect spread through the world, especially financial markets where the strongest quake on record forced the yen to surge to a level post WWII, triggering an emergency meeting for Group-7 leaders to discuss any aid they can provide to help Japan's economy.

The intervention was confirmed with German Budesbank spokesperson said that central banks from the G-7 nations are starting to sell the yen in order to weaken the currency. Banks such as BoE, ECB, Bank of France and others have joined effort to depreciate the Yen against the dollar while BoJ is heavily selling the yen and pumping more liquidity in markets to help the economy. The BoJ injected nearly 35 trillion yen over the past week into the financial system

ECB's spokesman said that We confirm the ECB took part in the joint foreign exchange intervention mentioned in the G7 statement. The Euro gained on the intervention, breaching a resistance at 1.4075 to currently trade at 1.4135. The pair opened trading at 1.4017 while setting a high of 1.4145 and a low of 1.3978.

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 it will intervene in the currency market today. We will monitor exchange markets closely and will cooperate as appropriate, G-7 statement said.

The Yen fell against the dollar, pushing the USD/JPY pair higher to 81.36, from the opening levels of 79.07, where it reached a high of 81.98.

The pair dropped to a low of 76.31 two days ago, marking the strongest level for the yen against the dollar in more than 70 years.

The pair's trading for today is bounded by the support at 80.50 and the resistance at 82.50 where further intervention by the Fed could depreciate the currency further and closes near 82.0 levels this week.

As for the pound, the royal cable slid against the euro but gained against the dollar as confidence dropped in the country to a record low, raising red flags that the economy would suffer from a slow and extended recovery.

UK consumer confidence fell to 38.0 last month, marking the lowest on record, since record began in 2004. The pound jumped against the yen on G-7 intervention.

The pound is currently trading at 1.6176 against the dollar, this is compared with the opening levels of 1.6141 while setting a high of 1.6190 and a low of 1.6058.

The US dollar index, a gauge for the currency against six-majors, traded lower at 75.808, compared with the opening levels of 76.131, where it reached a high of 76.256 and a low of 75.804.