Yen Soars to Seven-Month High Amid BOJ Rate Hike Bets

The yen continued its sharp rally on Tuesday, reaching a seven-month high as investors increasingly bet that the Bank of Japan will raise interest rates later this month.

A stronger-than-expected revision to Japan's second-quarter economic growth and a 2.4% rise in real wages in July have reinforced expectations for monetary tightening.

The yen's USD/JPY pair dropped 0.8% to 153.18 yen by 02:50 GMT, after falling to as low as 152.87 earlier in the day -- its lowest level since February 18.