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In the Asian session, the AUD/JPY pair is attempting to take back the crucial resistance level of 90.00. The Australian Dollar is being supported by investors ahead of the release of the Reserve Bank of Australia (RBA)'s minutes from its most recent monetary policy meeting, and the risk barometer has recovered from 89.60 following a corrective dip.

RBA Governor Philip Lowe stopped the policy tightening phase and held interest rates at 3.6% during the policy meeting in April. The rapid slowdown in Australian inflation over the previous two months was the justification for stopping the policy-tightening phase. In the last two months, Australian inflation has dropped significantly from its peak of 8.4% to just 6.8%. The RBA's policymakers are also optimistic about additional inflation softening as a result of growing anticipation of an impending recession.

RBA Lowe left the door open for more rate rises in April's monetary policy address if inflation persisted. The RBA policy minutes would give specific interest rate recommendations going forward.

The Australian labor market is becoming more constrained, therefore the RBA may sound more pessimistic in the future sessions. According to Australian Employment (March) figures, there were more new hires than expected, and the unemployment rate decreased to 3.5%. This could compel the RBA to reevaluate its current policy position.

Investors will also pay attention to China's Gross Domestic Product (GDP) (Q1) figures on Tuesday. According to the general opinion, the Chinese economy has grown by 2.2% rather than stagnating. The economy is growing by 4.0% annually as opposed to the 2.9% growth rate previously noted. It is important to remember that Australia is China's top trading partner, therefore stronger Chinese GDP figures would be supportive of the Australian Dollar.

The Bank of Japan's (BoJ) repeated support for expansionary monetary policy is putting pressure on the Japanese Yen on the Tokyo front. For the next ten years, the BoJ must maintain its ultra-loose monetary policy in order to keep inflation consistently above 2%.

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