0645 GMT - The key question in FX markets remains whether the forces behind yen weakness are starting to reverse. Morgan Stanley thinks the answer is yes, but not yet. The outlook depends much more on the Fed than on intervention or the Bank of Japan, it says in a note to clients. The bank expects the Fed to be on hold and the shift in market pricing to that view will support the yen, it adds. The bank expects U.S. inflation pressures to moderate as tariff pass-through fades, shelter inflation slows, core services normalize, and labor-market dynamics soften. The shift in Fed thinking will fundamentally underpin the yen, it adds.