The yen weakened toward 155 per dollar on Tuesday, extending a second-session decline as the dollar strengthened before an expected Federal Reserve rate increase and higher oil prices raised Japan's import-cost burden. The currency remained near seven-month highs, supported by expectations that the Bank of Japan will raise its policy rate to 1.25% on Friday, carry-trade unwinding and asset repatriation by domestic investors. The expected BOJ move would mark its highest policy rate since April 1995, while investors are watching for indications of another increase later this year. Earlier trading saw dollar-yen touch 155.00 before closing at 154.39 amid oil-price swings, U.S. rate expectations and Middle East developments.