The dollar strengthened as markets awaited tomorrow's inflation data. Economists surveyed by the Wall Street Journal expect the annual rate of CPI to be 2.7% in November, and if there is a major surprise in any direction, it could change expectations for the Federal Reserve to cut interest rates next week. On the dollar-yen side, the pair rose 0.3% intraday, close to the level of 152. XS.com analyst Rania Gule wrote that the market is concerned about slow growth and low inflation in the Japanese economy. Despite the strong performance of the Japanese economy in the third quarter, the market appears to be cautious about the willingness of the central bank to take bold steps on monetary policy.