Policy-makers worldwide are trying desperately to avert a global recession.
Japan intervened today to support the shuddering dollar as markets wait for the Federal Reserve to cut US interest rates, perhaps as soon as today.
Japan's authorities bought dollars for yen and talked up the prospects of a monetary easing from the Bank of Japan this week.
The US Congress is doing its bit by passing a massive $40 billion emergency package after last Tuesday's terror attacks. This opens the gates for future fiscal spending in the United Sates and across much of the developed world.
But analysts and dealers still fear the worst when Wall Street resumes trading today after its longest shutdown since the Great Depression.
Equity markets across Asia followed their European counterparts and slid afresh on Monday, and the dollar came under pressure as investors sought the relatively safer havens of the Swiss franc, British pound and euro.
"The scales are tilting decisively in favour of a major shortfall in world economic growth," was the conclusion of Morgan Stanley chief economist Mr Stephen Roach.
Financial futures markets are betting the Fed will move to ease policy ahead of its scheduled meeting on October 2nd, and many are tipping a 50 basis point cut in the 3.50 per cent federal funds target as early as today.