Yen hits new low against Singapore dollar as Middle East crisis jolts oil prices

Oil-driven shocks significantly affect the yen given Japan’s reliance on imported energy. Read more at straitstimes.com.

Follow our live coverage here.

SINGAPORE – The Japanese yen slid to a fresh low against the Singapore dollar amid turmoil in oil prices linked to the escalating Middle East crisis.

The yen weakened to a low of 124.78 yen per Singdollar on March 11, before recovering slightly to about 124.60 on March 12.

The Japanese currency, which fell 5.6 per cent against the Singdollar in 2025, has weakened another 2.11 per cent so far in 2026, according to Bloomberg data.

Mr Saktiandi Supaat, head of foreign exchange research at Maybank, said the rise in oil prices as a result of the war in the Middle East is negative for Japan’s currency.

Because Japan relies heavily on imported energy, higher oil prices raise its import bill and lead companies to sell more yen to buy dollars for fuel purchases, putting downward pressure on the currency and allowing currencies such as the Singapore dollar to strengthen against it.