AUD/JPY Holds Firm Above 100-day SMA Amid RBA-BoJ Policy Divergence

The Australian dollar has maintained its bullish momentum against the Japanese yen, holding above the key technical level of 114.50.

This is thanks to a combination of factors, including the Reserve Bank of Australia's (RBA) relatively hawkish stance compared to the Bank of Japan's (BoJ) ultra-loose monetary policy.

The interest rate differential between the two countries continues to favor the Australian dollar, with the RBA signaling potential further tightening while the BoJ remains committed to negative rates and yield curve control.