The dollar fell briefly to 114.22 against the yen during Tuesday's Asian session before bouncing back above the 115 level. The pair hit its lowest point since November 2014 in a 1.10 percent drop before its slight reversal. The pair is down significantly from only last week when it hovered around the 120 mark. The 10-year Japan government bond yield also fell below zero for the first time, hitting as low as 0.007 percent. This move has been expected by analysts since the Bank of Japan announced adoption of a negative rate policy on January 29. A stronger yen can be detrimental for Japan because it makes exports more expensive and the country relies on these sales to support its struggling economy.

Although many Asian markets remain closed for the Chinese New Year, those that were open in Australia and Japan also saw a continued decline on Tuesday following a wild sell off in Monday's New York session for both u.s. and European stocks. In Japan, the Nikkei 225 which had closed higher on Monday fell 5.73 percent by Tuesday afternoon, erasing gains and sending investors running towards safe havens. In Australia, the ASX 200 closed 2.88 percent lower at 143.29, with the cause of the drop due largely to plummets in the financial, energy and materials sections.

Investors are now focusing on Wednesday's upcoming announcement by federal reserve Chair Janet Yellen and are looking for signs as to whether the Fed will continue its planned rate hikes in the coming months or whether it will pause these efforts in response to the volatile times.