On Tuesday, the Australian dollar rose slightly against the Japanese yen following policy decisions by the central banks of Japan and Australia.。

Bank of Japan ends eight years of negative interest rate policy。The central bank raised short-term interest rates from -0 at its March meeting..1% up to 0% to 0.1%, in line with market expectations。

The Bank of Japan stopped controlling the yield curve on 10-year government bonds and also stopped buying ETFs and Japanese real estate investment trusts.。The central bank noted that it would continue to buy "roughly the same amount" of government bonds if long-term yields rose rapidly and strengthen its purchases.。

Frederic Neumann, chief Asia economist at HSBC, said: "The Bank of Japan has taken the first step towards policy normalization.。The key question is what happens next。He further said: "It is likely that the Bank of Japan will find itself stuck in 'zero interest rates' and will not be able to raise short-term interest rates further effectively in the coming quarters."。"

Market participants will now be watching closely to see if the Bank of Japan will tighten policy further, as this could affect the yen's role as a funding currency for carry trades.。

Meanwhile, the RBA held the cash rate at 4 in 12 years at its March meeting..35% high, in line with market expectations。

The RBA said it needed to ensure inflation moved towards the 2-3 per cent target range in 2025 and towards the midpoint of that range in 2026.。

Nevertheless, the central bank eased its tightening bias。

In a statement, the RBA said: "The path of interest rates over a reasonable period of time will best ensure that inflation remains uncertain as a return to target, and the Committee has not ruled out any possibility.。"

Earlier, the central bank had said it "cannot rule out the possibility of further interest rate increases."。"

The Australian dollar edged up 0 against the Japanese yen as of 9: 14 GMT on Tuesday.10% at 97.931。