Japanese stocks gained, after plunging on Tuesday by the most since August, as the yen pared gains that took it to the strongest level against the dollar in more than a year.

The Topix index added 0.2 percent to 1,306.56 as of 9:04 a.m. in Tokyo, with more than two stocks rising for each that fell. The Nikkei 225 Stock Average gained 0.5 percent to 16,159.28. The yen traded at 115.19 per dollar after surging touching 114.21 on Tuesday, the strongest since November 2014. Shares in the U.S. fluctuated as investors await congressional testimony from Federal Reserve Chair Janet Yellen ahead of a holiday on Thursday in Japan.

With investors still reeling from the yen’s surge and the Topix’s 5.5 percent plunge on Tuesday, focus will be on Yellen as she testifies before the U.S. Congress on Wednesday. Markets will be parsing her commentary for clues on further U.S. rate hikes amid concerns over the creditworthiness of European banks, oil’s decline and the strength of the global economy.

E-mini futures on the Standard & Poor’s 500 Index rose 0.3 percent after the underlying equity gauge slipped 0.1 percent on Tuesday, erasing earlier losses as speculation that Deutsche Bank AG is considering buying back billions of its bonds fueled an afternoon rebound in equities.

Source: Bloomberg