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Yen extends rally to seven-month high as dollar waits for CPI

The Japanese yen rose to fresh seven-month highs versus the U.S. dollar as traders unwound short positions, with growing bets on a potential Bank of Japan rate hike. The dollar stayed subdued ahead of this week’s CPI.

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S. dollar on Tuesday as traders continued to unwind short positions, with bets building on a Bank of Japan interest-rate hike while the dollar stayed subdued ahead of CPI data this week. The yen FX_IDC:USDJPY strengthened to…