1. Which framework is best suitable to automate the tests of AEM application and Y?
2. Hobbes or Selenium
3. And what are the benefits we get if we use Hobbes apart from selenium.
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Hobbes will help you in writing test cases that are specific to AEM pages. It is very similar to JUnit and easy to learn.
Selenium happens to be the future of AEM testing, So, if you are starting afresh, I would recommend you to use Selenium
See this GEMS Session that will address these questions: Adobe Experience Manager Help | Tools to use for testing Adobe Experience Manager applications