US Dollar Weakens Against Major Currencies, Impacting Global Markets.
In late 1994, the US dollar had mixed performance against the German mark and Japanese yen. The US government intervened in currency markets to support the dollar, and the US and Mexican authorities activated a swap facility. The dollar initially rose against the yen after a trade agreement, but later declined due to concerns about US monetary policy and interest rate differentials. The dollar's decline against the mark accelerated after the German elections.