Yen is rising and dollar is falling as traders await interest rate fluctuations

The yen rose against the dollar for a fourth straight session on Tuesday, with investors anticipating the possibility that the Bank of Japan will tighten monetary policy next year while the Federal Reserve will ease it.

The dollar reached its lowest level since mid-September at 147.16 yen, and recorded in its latest transactions a decline of 0.61 percent to 147.45.

On a broader scale, the dollar index, which measures the performance of the US currency against six major currencies, fell to its lowest levels since the end of August to 103.17, and in its latest transactions fell 0.13 percent to 103.32.

The euro rose to its highest levels since mid-August to $1.0966 on Tuesday, and in its most recent transactions it rose slightly to $1.0944.

The British pound increased 0.2 percent to $1.253 after reaching a two-month high of $1.254.

The Chinese yuan also rose to its highest level in four months to 7.13 against the dollar.