The Japanese yen weakened against other major currencies during the European session on Tuesday, as traders remain cautious amid a rare political crisis following a Japanese snap election that raises doubts about the Bank of Japan's capacity to raise interest rates further and the U.S. election.

Former BOJ board member Makoto Sakurai said that the Bank of Japan is likely to raise interest rates in coming months with January emerging as the most likely timing, when there will be more clarity on political and market developments.

By the end of Governor Kazuo Ueda's term in April 2028, the central bank would eventually aim to increase short-term borrowing costs, which are presently at 0.25%, to 1.5% or 2%, he added.

Investors reacted to mixed earnings updates and awaited interest-rate decisions from the Bank of England and the Federal Reserve later this week.

Meanwhile, all attention is focused on what is being called the "closest race in history" of the 2024 U.S. Presidential election, with Donald Trump facing off against Kamala Harris.

In the European trading today, the yen fell to a 4-day low of 176.61 against the Swiss franc, from an early high of 176.06. On the downside, 178.00 is seen as the next support level for the yen.

Against the euro and the pound, yen slid to 165.94 and 197.73 from early highs of 165.41 and 197.01, respectively. The next possible downside target for the yen is seen around 170.00 against the euro and 200.00 against the pound.

Against the U.S., the Australia, the New Zealand and the Canadian dollars, the yen edged down to 152.55, 100.78, 91.38 and 109.75 from early highs of 152.09, 100.13, 90.84 and 109.42, respectively. If the yen extends its downtrend, it is likely to find support around 155.00 against the greenback, 102.00against the aussie, 93.00 against the kiwi and 112.00 against the loonie.

Looking ahead, U.S. and Canada trade data for September and PMI reports for October, are slated for release in the New York session.

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