AUD/JPY rises to 113.55 on rate differential, intervention risk in focus
The AUD/JPY cross climbed to around 113.55 in early European trading on Monday, supported by the interest rate gap between the RBA and the Bank of Japan. However, potential Japanese intervention looms as a cap on further gains.
AUDJPY
The Australian Dollar strengthened against the Japanese Yen during the early European session on Monday, pushing the AUD/JPY cross to approximately 113.55.
The move was driven by the persistent interest rate differential between the Reserve Bank of Australia and the Bank of Japan, which continues to favor the Aussie. However, traders remain cautious as the risk of Japanese intervention to curb yen weakness remains a key factor, potentially limiting upside momentum.
Source: FXStreet Forex News