Yen's Rally Hinges on BOJ Signal Amid Rising Fed Rate Hike Odds

The yen has been on a four-week climb, reaching levels near its seven-month high of 152.89 per dollar.

However, this trend may be disrupted by the Federal Reserve's rate decision on Wednesday.

Consumer prices in the U.S. accelerated in August, and traders now price Fed rate hike odds at 86% for Wednesday.

The Bank of Japan meets two days later, and MUFG analysts said a quarter-point hike is already largely priced into markets.