Japan Injects More Funds Into Markets
Aug 12 11:06 PM US/Eastern
TOKYO (AP) - Japan's central bank injected 600 billion yen ($5 billion) into money markets Monday, a bank spokeswoman said, amid global worries about dubious U.S. mortgages.
It was the second trading day in a row that the Bank of Japan has pumped money into the markets, BOJ spokeswoman Naomi Mariko said.
On Friday, the U.S., European, Australian and Japanese central banks injected funds into money markets as stocks dropped on concerns over U.S. subprime mortgage problems.
It was the first time these banks and others around the world have worked together to inject liquidity into the markets since the aftermath of the Sept. 11, 2001, attacks.
Investor confidence worldwide has been shaken by the credit market problems over concerns that they will affect the larger financial system and hurt the U.S. economy.
Japan's benchmark Nikkei 225 stock index dropped 2.4 percent last Friday to close at 16,764.09 points on the Tokyo Stock Exchange, while the broader Topix index of all shares on the exchange's first section sank 3 percent.
Both indexes dipped at Monday's open, but soon edged back into positive territory. The Nikkei was up 0.48 percent at 16,844.59 points midday, while the Topix inched up 0.04 percent to 1,634.56 points.
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