We analyze nonlinear transverse mode coupling in a Kerr medium placed
in an optical cavity and its influence on bistability and different ki
nds of quantum noise reduction. Even for an input beam that is perfect
ly matched to a cavity mode, the nonlinear coupling produces an excess
noise in the fluctuations of the output beam. Intensity squeezing see
ms to be particularly robust with respect to mode coupling, while quad
rature squeezing is more sensitive. However, it is possible to find a
mode whose quadrature squeezing is not affected by the coupling.