The yen rose against the dollar and euro on Wednesday after Asian stocks plunged amid worries about the U.S. economy.

Central banks are set to make decisions on interest rates tomorrow. The European Central bank is expected to maintain its 4 percent rate. Meanwhile, the Bank of England is expected to drop rates by 25 basis points to 5.25 percent.

On Tuesday, concern grew over the outlook of a recession for the U.S. as the Institute for Supply management reported that its non-manufacturing index fell by its biggest amount in one month.

The euro was at $1.4634 from $1.4645 late Tuesday, while the dollar was at 106.72 yen from 106.87 yen. The euro was at 156.20 yen from 156.49 yen late Tuesday. The yen was at a two-week high of 155.16 yen per euro but retreated after U.S. stocks stabilized on Wednesday. The pound was at $1.9596 from $1.9634.