20.07.202602:19:02UTC+00Yen Trades Near 40-Year Lows

The Japanese yen traded around 162.3 per dollar on Monday, hovering near its weakest level since 1996, as a stronger greenback and surging oil prices—driven by escalating conflict in the Middle East—continued to pressure the currency. The US military launched fresh airstrikes against Iran following the deaths of three American service members, while Tehran declared that its ceasefire with Washington had effectively collapsed and reported intercepting four vessels transiting the Strait of Hormuz over the weekend. Japan’s heavy reliance on Middle Eastern oil imports leaves the yen particularly exposed to supply disruptions and higher energy costs. At the same time, investors saw little sign of decisive support from Tokyo, and are now awaiting intervention data due later this month for clues as to whether Japanese authorities were behind the sharp but short-lived yen rallies observed in recent weeks.